DELTA REGIONAL AUTHORITY 

PERFORMANCE AND ACCOUNTABILITY REPORT 

SEPTEMBER 30, 2016 
2 

DELTA REGIONAL AUTHORITY 

PERFORMANCE AND ACCOUNTABILITY REPORT 

SEPTEMBER 30, 2016

CONTENTS 

 Page 

Agency Head Letter 4 

 

 

SECTION 1 – MANAGEMENT’S DISCUSSION AND ANALYSIS

Management’s Discussion and Analysis 6 

SECTION 2 – PERFORMANCE SECTION 

Fiscal Year 2016 Performance Report 19 

SECTION 3 – FINANCIAL SECTION

Independent Auditor’s Report 36 

Basic Financial Statements 

Balance Sheets 39 

Statements of Net Cost 40 

Statements of Changes in Net Position 41 

Statements of Resources (Budgetary and Non-Budgetary) 42 

Notes to Financial Statements 44 
3 

CONTENTS (CONTINUED) 

 Page 

Other Information 

Combining Balance Sheets 55 

Combining Statements of Net Cost 57 

Combining Statements of Changes in Net Position 59 

Combining Reconciliation of Net Cost of Operations (Proprietary) to Budget 61 

Schedule of Expenditures 63 

 

Schedules of Grants Made 64 

Independent Auditor’s Report on Internal Control Over Financial Reporting 

 and on Compliance and Other Matters Based on an Audit of the Financial 

 Statements Performed in Accordance with Government Auditing Standards 66 
REGIONAL HEADQUARTERS: 

236 SHARKEY AVENUE, STE. 400 

CLARKSDALE, MS 38614 

PHONE: (662) 624-8600 

FAX: (662) 624-8537 

WASHINGTON, D.C. OFFICE: 

444 NORTH CAPITOL, N.W., STE. 309 

WASHINGTON, D.C. 20001 

PHONE: (202) 434-4872 

FAX: (202) 434-4871 

Alabama Ź Arkansas Ź Illinois Ź Kentucky 

Louisiana Ź Mississippi Ź Missouri Ź Tennessee 

www.dra.gov 

DELTA REGIONAL AUTHORITY

OFFICE OF THE FEDERAL CO-CHAIRMAN

November 1, 201

Shaun Donovan, Director

The Office of Management and Budget 

725 17th Street, NW

Washington, DC 20503 

Dear Director Donovan: 

Enclosed you will find the Delta Regional Authority’s (DRA) Performance

and Accountability Report for FY 201. )RU )<  '5$ VDZ DQ

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FRQWLQXHV WR GR WR VWUHQJWKHQ RSSRUWXQLWLHV IRU 'HOWD FRPPXQLWLHV DQG WKHLU ORFDO

HFRQRPLHV This report is an accurate and comprehensive account of the

Authority’s performance for FY 201 and includes comparative financial statements

for FY 201 and FY 201. I am pleased to report that to date, each of DRA's

independent, financial audits have been unmodified DQG WKH ODVW WZR KDYH KDG

QR PDWHULDO ZHDNQHVVHV RU VLJQLILFDQW GHILFLHQFLHV demonstrating that DRA is a

good steward of the people’s investment in this agenc\ )XUWKHU GXULQJ WKH

ODVW ILYH DXGLWV'5$ KDV KDG ]HURH[FHSWLRQVIRUPRUHWKDQFRPSOLDQFHWHVWV

DRA governs a culturally DQG KLVWRULFDOO\ rich region, comprised of 252 counties

and parishes in eight states, yet daily life remains a struggle for many. Through its

leadership, strategic economic development investments, policy initiatives, and

innovative programming, the DRA strives tR KHOS create jobs, build

communities, and improve the lives of the nearly 10 million residents of the Delta

region.

In FY 201, the DRA—through its States’ Economic Development Assistance Program 

(SEDAP DQG &RPPXQLW\ ,QIUDVWUXFWXUH )XQG &,) ± invested $,, of its

total appropriation into  projects in its eight-state region. This investment

leveraged $,, in other federal, state and local funds – a ratio of 6 to

1 for a total project investment of $. Additionally, the

DRA’s investments attracted private investments totaling $,, ± a

ratio of  to 1. Ultimately, the DRA has leveraged $2,

in RWKHUSXEOLFDQGSULYDWHLQYHVWPHQWVIRUDWRWDOLQYHVWPHQWUDWLRQRIWR

With these investments, the 201 DRA IXQGLQJ RSSRUWXQLWLHV DUH expected to help

achieve the following results: 
REGIONAL HEADQUARTERS: 

236 SHARKEY AVENUE, STE. 400 

CLARKSDALE, MS 38614 

PHONE: (662) 624-8600 

FAX: (662) 624-8537 

WASHINGTON, D.C. OFFICE: 

444 NORTH CAPITOL, N.W., STE. 309 

WASHINGTON, D.C. 20001 

PHONE: (202) 434-4872 

FAX: (202) 434-4871 

Alabama Ź Arkansas Ź Illinois Ź Kentucky 

Louisiana Ź Mississippi Ź Missouri Ź Tennessee 

www.dra.gov 

Over the course of 1 funding cycles, the DRA has invested $1,, in 

projects in its eight-state region, leveraging $, in other federal, state and 

local funds at a ratio of  to 1. Additionally, this investment has attracted 

$2,02,, in private investment – a ratio of 1 to 1 – for a total of 

$ in leveraged public and private funds resulting in a leverage ratio of 

2 to 1. 

Since its inception, SEDAP has helped to accomplish the following results:

•  families provided with access to improved water and sewer;

•  individuals trained for a 21st century workforce; and

•  jobs created and retained.

In addition, the following future outcomes are projected:

• Provide  families with access to improved water and sewer;

• Train 2, individuals for a 21st century workforce; and

• Create and retain jobV

As evidence by this report, WKURXJK WKH 5XUDO &RPPXQLWLHV $GYDQFHPHQW 3URJUDP

IXQGLQJ numerous accomplishments in FY 201 have been realized through the 

following programs and initiatives:

Delta Leadership Institute (DLI); 

'HOWD(QWUHSUHQHXUVKLS1HWZRUN'(1;

/HDGLQJ(FRQRPLFDOO\&RPSHWLWLYHDQG5HVLOLHQW&RPPXQLWLHV(&5&WUDLQLQJV

/RFDO)RRGV/RFDO3ODFHV

Jobs for America’s Graduates (JAG); DQG

Local Development Districts (LDD) WUDLQLQJV

It is with great pleasure that the DRA submits its FY 201 Performance

and Accountability Report. Performance data included in this report has been

compiled to provide the most complete and accurate results available. DRA will

continue to grow as an agency and invest its resources in projects, programs, and

organizations to help provide the 252 counties and parishes of the Delta

region with the necessary infrastructure, job training, and business resources to

KHOScreate jobs, build communities, and improve lives. 

Sincerely, 

Christopher A. Masingill 

Federal Co-Chairman 

• Provide  families with access to improved water and sewer;

• Train 2,4 individuals for a 21st century workforce; and

• +HOSFreate and retain  jobs.
SECTION I - MANAGEMENT’S DISCUSSION AND ANALYSIS
Management’s Discussion and Analysis 2016

6 Delta Regional Authority

DELTA REGIONAL AUTHORITY 

Listing of Officials 

As of September 30, 2016

Federal Co-Chairman States’ Co-Chairman 

Mr. Christopher A. Masingill Governor Phil Bryant 

Alternate Federal Co-Chairman Alternate States’ Co-Chairman 

Mr. Michael G. Marshall Mr. Pierce Moore 

STATE GOVERNORS, DESIGNEES, AND ALTERNATES 

Alabama Louisiana 

Governor Robert Bentley Governor John Bel Edwards 

Mr. Jim Byard, Jr. (Designee) Ms. Leslie Durham 

Ms. Maureen Neighbors (Alternate) (Designee & Alternate) 

Arkansas Mississippi 

Governor Asa Hutchinson Governor Phil Bryant 

Mrs. Amy Fecher Ms. Alice Perry 

(Designee & Alternate) (Designee & Alternate) 

Illinois Missouri 

Governor Bruce Rauner Governor Jay Nixon 

Mr. Victor Narusis (Designee) Mr. Bill Ransdall (Designee) 

Ms. Kim Watson (Alternate) 

Kentucky Tennessee 

Governor Matt Bevin Governor Bill Haslam 

Ms. Sandra Dunahoo Mr. Ted Townsend (Designee) 

(Designee & Alternate) Ms. Brooxie Carlton (Alternate)
Management’s Discussion and Analysis 2016

7 Delta Regional Authority
Management’s Discussion and Analysis 2016

8 Delta Regional Authority

Introduction

The Delta Regional Authority (the Authority or DRA) is a federal-state partnership serving 252 

counties and parishes in an eight-state region. Led by a Federal Co-Chairman and the Governors 

of each participating state, DRA is designed to remedy severe and chronic economic distress by 

stimulating economic development and fostering partnerships that have a positive impact on the 

region’s economy. DRA helps economically distressed communities capitalize on other federal 

and state programs focused on basic infrastructure development, transportation improvements, 

business development and job training services. 

Congress mandated (7 U.S.C.§2009aa) that DRA shall provide funding for the following four 

categories: 

• Basic public infrastructure in distressed counties and isolated areas of distress; 

• Transportation infrastructure for the purpose of facilitating economic development in the 

region; 

• Business development, with emphasis on entrepreneurship; and 

• Job training or employment-related education, with emphasis on use of existing public 

educational institutions located in the region. 

Congressional stipulations include: 

• The Authority will allocate at least 75% of Authority funds for use in distressed counties; 

and 

• The Authority shall allocate at least 50% of any funds for transportation and basic public 

infrastructure projects. 

The following is a discussion and analysis of the operating results and financial position of DRA, 

created by the Delta Regional Authority Act of 2000. The Authority’s original authorization 

expired on October 1, 2007, but was extended by the Agricultural Act of 2014 to 2018. 

As listed in the Management’s Discussion and Analysis and throughout the Performance and 

Accountability Report, DRA continues to emphasize performance accountability and 

sustainability within its programs. Please review this document in conjunction with the annual 

financial statements and accompanying notes. 

 
Management’s Discussion and Analysis 2016

9 Delta Regional Authority

Program Highlights for Fiscal Year 2016 

In FY 2016, DRA – through its States’ Economic Development Assistance Program (SEDAP) 

and Community Infrastructure Fund (CIF) – invested $21,369,738 of its total appropriation into 

88 projects in its eight-state region. This investment leveraged $136,704,702 in other federal, 

state, and local funds – a ratio of 6.4 to 1 for a total project investment of $158,074,440. 

Additionally, DRA’s investments attracted private investments totaling $137,900,000 – a ratio of 

6.45 to 1. Ultimately, DRA has leveraged $274,604,702 in other public and private investments 

for a total investment ratio of 12.85 to 1.

With these investments, the 2016 DRA funding opportunities are expected to help achieve the 

following results:

• Provide 23,428 families with access to improved water and sewer; 

• Train 2,964 individuals for a 21st century workforce; and 

• Create and retain 5,059 jobs. 

Over the course of 15 funding cycles, DRA has invested $162,799,857 in 1,053 projects in its 

eight-state region, leveraging $1,025,119,174 in other federal, state and local funds at a ratio of 

6.3 to 1. Additionally, this investment has attracted $2,302,149,129 in private investment – a 

ratio of 14.14 to 1 – for a total of $3,327,268,303 in leveraged public and private funds resulting 

in a leverage ratio of 20.44 to 1.

Since its inception, SEDAP has helped to accomplish the following results: 

 

• 66,114 families provided with access to improved water and sewer; 

• 7,372 individuals trained for a 21st century workforce; and 

• 37,119 jobs created and retained. 

 

In addition, the following future outcomes are projected: 

 

• Provide 58,899 families with access to improved water and sewer; 

• Train 24,518 individuals for a 21st century workforce; and 

• Create and retain 13,287 jobs. 
Management’s Discussion and Analysis 2016

10 Delta Regional Authority

Fiscal Year 2016 Counties and Parishes 

Distressed counties are defined as those counties that are one percent higher (7.2%) than the 

national average (6.2%) for unemployment for the most recent 24-month period and/or 80% or 

less than the national per capita income. Non-distressed counties are those under one percent of 

the national average for unemployment and more than 80% of national per capita income. 

The DRA Enabling Legislation requires the Authority to update its distressed and non-distressed 

county designation annually. The tabulation for FY 2016 resulted in 217 distressed counties and 

parishes and 36 non-distressed counties (see list below). 

Distressed List as of September 30, 2016 

Alabama (20) 

Barbour 

Bullock 

Butler 

Choctaw 

Clarke 

Conecuh 

Dallas 

Escambia 

Greene 

Hale 

Lowndes 

Macon 

Marengo 

Monroe 

Perry 

Pickens 

Russell 

Sumter 

Washington 

Wilcox 

Arkansas (38) 

Ashley 

Baxter 

Bradley 

Calhoun 

Chicot 

Clay 

Cleveland 

Craighead 

Crittenden 

Dallas 

Desha 

Drew 

Fulton 

Grant 

Greene 

Independence 

Izard 

Jackson 

Jefferson 

Lawrence 

Lee 

Lincoln 

Lonoke 

Marion 

Mississippi 

Monroe 

Ouachita 

Phillips 

Poinsett 

Randolph 

Searcy 

Sharp 

St. Francis 

Stone 

Union 

Van Buren 

White 

Woodruff 

Illinois (13)

Alexander 

Franklin 

Gallatin 

Hardin 

Johnson 

Massac 

Perry 

Pope 

Pulaski 

Randolph 

Saline 

Union 

Williamson 

Kentucky (15) 

Ballard 

Caldwell 

Calloway 

Christian 

Crittenden 

Fulton 

Graves 

Henderson 

Hopkins 

Livingston 

Lyon 

Marshall 

Muhlenberg 

Todd 

Trigg 

Louisiana (41) 

Allen 

Assumption 

Avoyelles 

Beauregard 

Bienville 

Caldwell 

Catahoula 

Claiborne 

Concordia 

Desoto 

East Carroll 

East Feliciana 

Evangeline 

Franklin 

Grant 

Iberville 

Jackson 

Jefferson Davis 

La Salle 

Lincoln 

Livingston 

Madison 

Morehouse 

Natchitoches 

Red River 

Richland 

St Bernard 

St. Helena 

St. James 

St. Martin 

St. John, Baptist 

St. Landry 

Tangipahoa 

Tensas 

Union 

Vermillion 

Washington 

Webster 

West Carroll 

West Feliciana 

Winn 

Mississippi (45) 

Adams 

Amite 

Attala 

Benton 

Bolivar 

Carroll 

Claiborne 

Coahoma 

Copiah 

Covington 

Desoto 

Franklin 

Grenada 

Hinds 

Holmes 

Humphreys 

Issaquena 

Jasper 

Jefferson 

Jefferson Davis 

Lafayette 

Lawrence 

Leflore 

Lincoln 

Marion 

Marshall 

Montgomery 

Panola 

Pike 

Quitman 

Sharkey 

Simpson 

Smith 

Sunflower 

Tallahatchie 

Tate 

Tippah 

Tunica 

Union 

Walthall 

Warren 

Washington 

Wilkinson 

Yalobusha 

Yazoo 

Missouri (25) 

Bollinger 

Carter 

Crawford 

Dent 

Douglas 

Dunklin 

Howell 

Iron 

Madison 

Mississippi 

New Madrid 

Oregon 

Ozark 

Pemiscot 

Perry 

Phelps 

Reynolds 

Ripley 

Shannon 

St. Francois 

Stoddard 

Texas 

Washington 

Wayne 

Wright 

Tennessee (20) 

Benton 

Carroll 

Chester 

Crockett 

Decatur 

Dyer 

Fayette 

Gibson 

Hardeman 

Hardin 

Haywood 

Henderson 

Henry 

Lake 

Lauderdale 

McNairy 

Obion 

Shelby 

Tipton 

Weakley
Management’s Discussion and Analysis 2016

11 Delta Regional Authority

Non-Distressed List as of September 30, 2016 

Alabama (0) 

All counties in Alabama are 

designated as distressed 

Arkansas (4) 

Arkansas 

Cross 

Prairie 

Pulaski 

Illinois (3) 

Hamilton 

Jackson 

White 

Kentucky (6) 

Carlisle 

Hickman 

McCracken 

McLean 

Union 

Webster 

Louisiana (16) 

Acadia 

Ascension 

Cameron 

East Baton Rouge 

East Feliciana 

Iberia 

Jefferson 

LaFourche 

Orleans 

Ouachita 

Plaquemines 

Pointe Coupee 

Rapides 

St. Charles 

St. Mary 

West Baton Rouge 

 

Mississippi (2) 

Madison 

Rankin 

Missouri (4) 

Butler 

Cape Girardeau 

Scott 

Ste. Genevieve 

Tennessee (1) 

Madison 
Management’s Discussion and Analysis 2016

12 Delta Regional Authority

Organizational Structure of Delta Regional Authority

The DRA Board is comprised of Governors from the eight states in the DRA region along with 

the Federal Co-Chairman, Christopher A. Masingill, who was appointed by President Obama and 

took office on July 13, 2010. The Governors annually appoint a States’ Co-Chairman, and again 

in FY 2015, Governor Phil Bryant of Mississippi was again elected to serve as the sixth States’ 

Co-Chairman. The DRA statute requires the Board to hold an annual quorum meeting, which 

compels the attendance of a majority of the States’ Governors. For all other DRA meetings, 

Governors may appoint a designee/alternate to serve in their absence. 

The relationship between the Federal Co-Chairman and Governors is a partnership where all 

board members share the fiduciary responsibility of the Authority. Moreover, the Board’s 

responsibilities are: to establish and approve investments for economic development to the 

region; assess the state of the region; facilitate and recommend interstate cooperation among 

region members; develop model legislation; support and train local development districts; and 

encourage private investment and cooperate with state economic development programs within 

the region. Board decisions require affirmation from the Federal Co-Chairman and a majority of 

participating Governors. 

An Alternate Federal Co-Chairman shall be appointed by the President; Michael G. Marshall 

took office in May 2010. 

The Federal Co-Chairman maintains an office within the DRA office and at the end of FY 2016 

employed four full-time federal employees. Additionally, the DRA office employs nineteen nonfederal employees who carry out the day-to-day operations within the following arenas: Finance 

and Administration; Economic and Community Development; Federal Affairs; and Public 

Engagement and Communication. 

The DRA organizational chart is as follows: 
Management’s Discussion and Analysis 2016

13 Delta Regional Authority

DELTA REGIONAL AUTHORITY

Staff Organizational Chart
Management’s Discussion and Analysis 2016

14 Delta Regional Authority

Financial Management of Delta Regional Authority 

DRA utilizes the General Services Administration (GSA) for assistance in the management of 

DRA’s economic development obligations, disbursements, and the financial reporting of its 

federally-appropriated dollars. Because of the Authority’s relatively small size, the use of GSA 

has been very cost-effective. GSA has also assisted the Authority with the compliance of many 

federal-mandated requirements. State administrative funds, along with other funds, are held by 

banks located in the DRA Region and accounted for by the Director of Finance and 

Administration. 

 

DRA has just completed its fourteenth year of compliance with the Accountability of Tax Dollars 

Act of 2002. Although this requirement was first mandated in FY 2003, DRA has consistently 

initiated several additional controls and expanded compliance testing to ensure the financial 

integrity of the Authority. 

Financial Highlights 

The following is a summary of the changes in assets, liabilities, revenues, expenditures and net 

position at September 30, 2016, as compared to the prior year: 

• Total assets increased $10,839,414 or 37.10% in 2016 compared to a decrease of 

$649,697 or 2.18% in 2015; 

• Total liabilities increased $36,342 or 1.46% in 2016 compared to an increase of 

$271,897 or 12.28% in 2015; 

• Net cost of operations increased $2,500,159 or 14.28% in 2016 compared to a 

decrease of $885,590, or 4.82% in 2015; 

• Financing sources of operations increased $2,587,969 or 14.85% in 2016 compared to 

a decrease of $1,031,695 or 5.58% in 2015; and 

• Net position increased $10,803,072 or 40.42% in 2016 compared to a decrease of 

$921,594 or 3.33% in 2015. 

Overview of the Financial Statements 

The Management’s Discussion and Analysis introduces DRA’s principal statements. The 

principal statements include: (1) balance sheets, (2) statements of net cost, (3) statements of 

changes in net position, (4) statements of resources (budgetary and non-budgetary), and (5) notes 

to financial statements. DRA also includes in this report additional information to supplement the 

principal statements. 
Management’s Discussion and Analysis 2016

15 Delta Regional Authority

Balance Sheets – The balance sheet is a summary of assets, liabilities and net position for 

each fiscal year. It includes assets in possession or managed by the entity exclusive of items 

subject to stewardship reporting (assets), amounts owed by the entity (liabilities), and 

amounts which comprise the difference (net position). 

2016 over 2016 %

(under) over/under

2014 2015 2016 2015 2015

Total Assets 29,863,620 $ 29,213,923 $ 40,053,337 $ 10,839,414 $ 37.1%

Total Liabilities 2,214,648 $ 2,486,545 $ 2,522,887 $ 36,342 $ 1.5%

Net Position

 Unexpended appropriations/state funds 27,610,036 26,765,083 37,556,986 10,791,903 40.3%

 Cumulative results of operations 38,936 (37,705) (26,536) 11,169 -29.6%

Total Net Position 27,648,972 26,727,378 37,530,450 10,803,072 40.4%

Total Liabilities and Net Position 29,863,620 $ 29,213,923 $ 40,053,337 $ 10,839,414 $ 37.1%

Delta Regional Authority

Condensed Balance Sheets

As of September 30,

Total assets increased $10,839,414 or 37.1% in FY 2016 compared to FY 2015 and decreased 

$649,697 or 2.18% in FY 2015 compared to FY 2014. The FY 2016 increase is largely 

attributable to federal appropriations increasing for economic development purposes, while the 

FY 2015 decrease is attributable to federal appropriations remaining the same while funding for 

older projects continued to be paid out year over year. 

Total liabilities increased $36,342 or 1.5% in FY 2016 compared to FY 2015 and $271,897 or 

12.3% in FY 2015 as compared to FY 2014, due to an increase in payment requests for RCAP 

projects near year-end compared to the requests received in the prior year. 

Statements of Net Cost – The statements of net cost are designed to show separately the 

components of the net cost of the reporting entity’s operations for the period. The net cost of 

operations is the gross cost incurred by the reporting entity less any exchange revenue earned 

from its activities. The gross cost of a program consists of the full cost of the outputs produced 

by that program plus any non-production costs that can be assigned to the program (nonproduction costs are costs linked to events other than the production of goods and services). The 

net cost of a program consists of gross cost less related exchange revenues. By disclosing the 

gross and net cost of the entity’s programs, the statements of net cost provide information that 

can be related to the outputs and outcomes of the programs and activities. 
Management’s Discussion and Analysis 2016

16 Delta Regional Authority

2015 2015 % 2016 2016 %

over over over over

(under) (under) (under) (under)

2014 2015 2016 2014 2014 2015 2015

Program Costs 236,133 $ 259,420 $ 237,092 $ 23,287 $ 9.86% (22,328) $ -8.6%

Intergov'mntal gross costs 18,154,556 17,245,679 19,768,166 (908,877) -5.01% 2,522,487 14.6%

Net costs with the public 18,390,689 17,505,099 20,005,258 (885,590) -4.82% 2,500,159 14.3%

Total Program Costs 18,390,689 $ 17,505,099 $ 20,005,258 $ (885,590) $ -4.8% 2,500,159 $ 14.3%

Delta Regional Authority

Condensed Statement of Net Costs

For the year ended September 30, 2016

Net cost of operations increased $2,500,159 or 14.3% in FY 2016 compared to FY 2015. The 

increase is attributable to an increase in RCAP project disbursements. Net cost of operations 

decreased $885,590 in FY 2015 when compared to FY 2014. The decrease was attributable to a 

decrease in RCAP project disbursements before the fiscal year-end. In other words, funding 

requests received from RCAP grantees were received later for this fiscal year than the timing for 

requests received in the prior year.

Statements of Changes in Net Position – The statements of changes in net position report the 

change in net position during the reporting period. Net position is affected by changes to its two 

components: cumulative results of operations and unexpended appropriations. The statement 

format is designed to display both components of net position separately to enable the user to 

better understand the nature of changes to net position as a whole. 

Cum'tve Unexp'd Cum'tve Unexp'd Cum'tve Unexp'd

Results of Appro'tns/ Results of Appro'tns/ Results of Appro'tns/

Ops Funds Ops Funds Ops Funds $ % $ % $ % $ %

Beginning balance (31) $ 28,792 $ 39 $ 27,610 $ (38) $ 26,765 $ 70 $ -227.9% (1,182) $ -4.1% (77) $ -197.4% (845) $ -3.1%

Bud'try fin'cing source/(uses) 13,308 (1,119) 13,095 (1,095) 14,445 10,555 (213) -1.6% 24 -2.1% 1,350 10.3% 11,650 -1063.9%

Othr fin'cing source/(use) 5,152 (63) 4,333 250 5,571 237 (819) -15.9% 313 -496.8% 1,238 28.6% (13) -5.2%

Ttl fin'cing sources (uses) 18,460 (1,182) 17,428 (845) 20,016 10,792 (1,032) -5.6% 337 -28.5% 2,588 14.8% 11,637 -1377.2%

Net cost of operations 18,391 - 17,505 - 20,005 - (886) -4.8% - 2,500 14.3% - 

Net change 69 (1,182) (77) (845) 11 10,792 (146) -211.6% 337 -28.5% 88 114.3% 11,637 -1377.2%

Ending balance 39 $ 27,610 $ (38) $ 26,765 $ (27) $ 37,557 $ (77) $ -198.7% (845) $ -3.1% 11 $ 128.9% 10,792 $ 40.3%

Delta Regional Authority

Results of Ops Apro'tions Fds Results of Ops Apro'tions Fds

2014 2015 2016 2015 over (under) 2014 2016 over (under) 2015

Condensed Statements of Changes 

For the year ended September 30, 

in Net Position ($000)

Cum'tve Unexp'd Cum'tve Unexp'd 

Financing sources of operations increased $2,587,969 or 14.8% in FY 2016 compared to FY 

2015. The increase in financing sources is related to an increase in disbursements of RCAP funds 

and an increase of SEDAP funds expended for projects during the current year. Financing 

sources of operations decreased $1,031,695 or 5.58% in FY 2015 when compared to FY 2014. 

The decrease in financing sources was related to a decrease in disbursements of RCAP funds and 

a decrease of SEDAP funds expended for projects during the current year. 
Management’s Discussion and Analysis 2016

17 Delta Regional Authority

Net position increased $10,803,072 or 40.4% in FY 2016 compared to FY 2015. The increase in 

net position is directly attributable to an increase in financing sources and a decrease in 

administrative and grant expenses. Net position decreased $921,594 or 3.33% in FY 2015 when 

compared to FY 2014. This decrease in net position was directly attributable to a decrease in 

financing sources and an increase in administrative and grant expenses. 

 

Statements of Resources (Budgetary and Non-Budgetary) – The statements of resources 

(budgetary and non-budgetary) and related disclosures provide information about how budgetary 

resources were made available, as well as their statuses at the end of the year. It is the only 

financial statement predominantly derived from an entity’s budgetary general ledger in 

accordance with budgetary accounting rules, which are incorporated into generally accepted 

accounting principles (GAAP) in the United States of America for the federal government. 

2014 2015 2016 $ % $ %

Total Resources (Budgetary &

Non-Budgetary Resources 18,864,246 $ 17,700,215 $ 33,201,413 $ (1,164,031) $ -6.2% 15,501,198 $ 87.6%

Total Status of Bud'try Resrces 13,745,593 13,393,505 27,656,769 (352,088) -2.6% 14,263,264 106.5%

Total, Unpaid Ob'gtd Bal, Net

 End of year 29,079,776 27,817,846 37,095,635 (1,261,930) -4.3% 9,277,789 33.4%

Net Outlays 14,070,545 12,695,042 14,071,390 (1,375,503) -9.8% 1,376,348 10.8%

2014 2015

Delta Regional Authority

Condensed Statement of Resources

(Budgetary and Non-Budgetary)

For the year ended September 30,

2015 Over/(Under) 2016 Over/(Under)

The declining trend in Budgetary Resources abated during FY 2016. DRA had experienced 

decreases since FY 2012, which were attributable to increases in administrative and grant 

expenses, thereby reducing available resources and increasing obligation activity to reappropriate and better utilize available funding from direct federal, pass-through federal and state 

sources. 

Notes to Financial Statements – The notes to financial statements are an integral part of the 

financial statements. The notes explain some of the information in the financial statements and 

provide more detailed data. 
Management’s Discussion and Analysis 2016

18 Delta Regional Authority

Limitations of the Financial Statements

The principal financial statements have been prepared to report the financial position and results 

of operations of the entity, pursuant to the requirements of 31 U.S.C. 3515(b). While the 

statements have been prepared from the books and records of the entity in accordance with 

GAAP for federal entities and the formats prescribed by the President’s Office of Management 

and Budget, the statements are, in addition to the financial reports, used to monitor and control 

budgetary resources, which are prepared from the same books and records. 

The statements should be read with the realization that those are for a component unit of the U.S. 

Government, a sovereign entity. 

Contacting DRA’s Financial Management

This financial report is designed to fulfill the obligations of DRA as it relates to the 

Accountability for Tax Dollars Act of 2002. The report details the financial position of DRA as 

of September 30, 2016 and 2015, and demonstrates DRA’s accountability for all funds and 

appropriations received. 

If you have any questions about this report or need additional information, please contact Delta 

Regional Authority via telephone by calling (662) 624-8600 or mail by directing inquiries to: 

Delta Regional Authority 

236 Sharkey Avenue, Suite 400 

Clarksdale, Mississippi 38614 
SECTION 2 - PERFORMANCE SECTION
DRA Performance Report 2016

19 Delta Regional Authority

DRA PERFORMANCE REVIEW 

INTRODUCTION 

The Government Performance and Results Act of 1993 (“GPRA”) requires all federal agencies to 

submit a report to Congress on actual program results at the end of each Fiscal year along with its 

audited financial statements outlined in the Office of Management and Budget (OMB) Circular No. 

A-136. This report includes a summary of results on the following DRA programs and policy efforts: 

• Regional Development Plan III (RDP III) 

• Regional Economic and Community Development Officers (RDO) 

• Local Development District Trainings (LDD) 

• Policy and Research 

o Delta Research Consortium 

o Today’s Delta 2.0 

• Workforce Development 

• Jobs for America’s Graduates (JAG) 

• Small Business and Entrepreneurship Initiative (SB&E) 

• Delta Entrepreneurship Network (DEN) 

• Leading Economically Competitive and Resilient Communities (ECRC) 

• Cultural Tourism 

o Mississippi River Geotourism 

o Delta Sky Magazine 

• DeltaCorps 

• Innovative Readiness Training Program (IRT) 

• Local Foods, Local Places 

• Delta Doctors Program 

• Delta Leadership Institute (DLI) 

 
DRA Performance Report 2016

20 Delta Regional Authority

REGIONAL DEVELOPMENT PLAN III 

The Delta Regional Authority has completed the process of updating its strategic plan for the next 

five years, approved by the DRA board during its February 2016 Quorum meeting. DRA’s Delta 

Regional Development Plan III (RDP III) builds upon its previous strategic plan (RDP II) which has 

helped to shape the DRA’s priorities since 2008. The RDP II resulted in the creation of DRA’s 

guiding principles, which remain in place as the foundational framework for RDP III: 

 

Goal 1 – Advance the productivity and economic competitiveness of the Delta workforce 

Goal 2 – Strengthen the Delta’s physical and digital connections to the global economy 

Goal 3 – Facilitate capacity building within Delta communities 

 

The RDP III updates and further builds upon these foundational goals of the RDP II, ensuring 

that these three core goals remain relevant and are prioritized, and expands them into more 

targeted policy recommendations and actionable plans. Now approved by the DRA board, the 

RDP III will become DRA’s updated five-year comprehensive strategic plan and will set 

actionable guidelines, priorities, strategies and benchmarks for DRA as it continues its work to 

bolster the economic development of the Delta region. 

LOCAL DEVELOPMENT DISTRICT TRAININGS 

Per DRA’s statute, local development districts (LDDs) are the Authority’s front-line project 

developers and managers. The LDDs within the DRA footprint provide technical assistance, 

application support and review, and other services to DRA and the entities in their district 

wishing to apply for DRA funding. LDDs help identify effective and impactful economic 

development projects for consideration for DRA investment. All projects, regardless of the 

funding source, are developed in coordination with the appropriate LDD. LDD staff review and 

certify that each project is legitimate and meets the parameters of DRA programs. 

Based on guidance from the LDD Advisory Board, LDDs out of compliance with certification 

requirements are ineligible to submit applications for DRA funding. This compliance 

requirement has helped with the updating of the funding manuals and trainings that the Authority 

provides to the LDDs. 

In April 2016, nearly 70 Designated District Staff from the 44 LDDs within the DRA footprint 

attended the annual LDD Training Academy in Memphis, TN hosted by DRA. Participants 

received certification as DRA project coordinators. These actions will help ensure that DRA 

 
DRA Performance Report 2016

21 Delta Regional Authority

stakeholders are receiving the most up to date technical assistance from their LDD when 

applying for DRA funding. 

REGIONAL ECONOMIC AND COMMUNITY DEVELOPMENT OFFICERS

Beginning in the Spring of 2016, DRA hired four Regional Economic and Community 

Development Officers (RDOs) to serve as the nexus between DRA and local, state, and federal 

stakeholders. RDOs are based throughout the Delta region and directly support communities by 

helping to identify and fill capacity needs in support of local and regional development efforts. 

RDOs have built a solid community of practice as a necessary first step to build trust with 

stakeholders in communities across the DRA footprint. As trust has developed and professional 

networks have been built, RDOs have gained significant situational awareness of the political, 

socio-economic, health, and education climate for their specific regions. Leveraging those 

networks has enabled RDOs to develop programmatic strategies with their communities of 

practice to assist with the institutionalization of broader state and regional economic 

development plans leveraging DRA and other federal partner support. 

All RDOs maintain a rigorous schedule of community engagements across the DRA footprint. 

Since being hired in April 2016, RDOs have attended more than 100 in-person engagements, as 

well as multiple phone engagements, and webinars with partners in all 8 states, collectively 

traveling more than 40,000 miles within the Delta region. RDOs have established working 

relationships with field representatives for U.S. Senators and U.S. Representatives in their 

territories. The RDOs have liaised with a number of federal partners such as HUD, USDA, 

FEMA, EDA, and SBA, and they continue to support federal partner activities in their areas of 

operation. These partnerships have been essential for layering/leveraging resources and creating 

conditions necessary to provide a holistic approach and strategy to community development. 

Because of the positive reception from the Delta communities the RDOs serve, DRA is 

expecting to hire two additional RDOs in the near future to better serve the Delta region. 

POLICY AND RESEARCH

In an effort to stay up-to-date on ongoing policy initiatives in the region and at the national level, 

as well as to spearhead any research efforts by the Delta Regional Authority, DRA created a 

position in the spring of 2016 that manages the agency’s policy and research development. 
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22 Delta Regional Authority

This department is responsible for overseeing the Delta Research Consortium, Today’s 

Delta, updating policy briefings, maintaining accurate and relevant information surrounding 

issues affecting the Delta region, and representing DRA at relevant meetings and conferences. 

Delta Research Consortium 

In recognition of the need for better and more directed research in the economic, cultural, and 

social challenges, successes, and opportunities of Delta communities, DRA has partnered with 

Arkansas State University to develop a consortium of four-year colleges and universities 

throughout DRA’s eight states to focus research endeavors on the Delta region. The consortium 

expects to utilize the shared capacity of institutions for research and innovation across sectors to 

elevate funding for Delta-focused research that can inform policies and development efforts 

throughout DRA’s footprint. 

DRA co-hosted the kickoff leadership summit for the DRC in April 2015, at which there were 50 

representatives from 23 institutions and a number of economic development organizations 

represented as well. The summit was successful in building buy-in among the institutions present 

and motivating the research leadership to propose taking the next steps in creating a platform and 

structure for the DRC to their institutional leadership. The Consortium then hosted a Presidents 

Roundtable in October 2015 that secured buy-in from 20 institutions and helped to outline next 

steps for the Consortium. Those next steps include each institution signing a Memorandum 

of Understanding, and DRA hosting a convening with each of the institutions as well as 

economic developers at a policy summit in early 2017. 

Today’s Delta 

In order to plan and implement impactful economic and community development strategies for 

the future, DRA recognizes that community leaders must understand their current 

reality. Today’s Delta is an online resource, with periodic print versions, showing county-level 

data and comparing it to state, regional, and national indicators. DRA is in the third phase of the 

Today’s Delta research database and report originally completed and published in 2012 and 

updated in 2015. The Today’s Delta project is in the final phase of an update to the database with 

2015 data. These statistics will be published in an updated Today’s Delta publication for 

distribution throughout the region in Fall 2016. 

WORKFORCE DEVELOPMENT 

DRA provided direct technical support and assistance for selected communities to assess their 

workforce’s skill levels and plan for increased readiness. Selected communities included 15 
DRA Performance Report 2016

23 Delta Regional Authority

awardees representing 7 states and 80 counties and parishes. The end result of the technical 

assistance to communities has been an increase in intervention programming aimed toward youth 

and young adults, as well as an increase in post-secondary credentials designed to help job 

seekers and incumbent workers move along a career ladder. DRA provided: 

• Community-driven workforce development action plans that promote closing the skills 

gap; 

• The design of career pathways programs that enable adults and displaced workers into 

specialty careers; 

• The implementation of high quality on-the-job training programs; 

• The design of accelerated and contextualized classroom-based learning opportunities; and 

• Capacity building for workforce intermediaries. 

DRA partnered with ACT in providing support to the selected communities through its ACT 

Work Ready Communities Academy (WRC). The Academy took a structured approach where 

ACT guided the selected communities through the ACT Work Ready Communities framework 

and how to leverage it to build their own unique, sustainable workforce development approach. 

Aside from the WRC process, ACT provided tools to help the communities track their progress 

towards certification and present data for economic developers to show they have a qualified 

workforce valued by employers. Employer engagement is an essential to DRA’s focus on 

workforce. To date, the Authority has engaged more than 583 employers within the Delta region. 

These employers span across multiple sectors to include, but is not limited to, healthcare, 

advanced manufacturing, transportation, distribution, and logistics, energy, maritime, hotel, 

retail, and accommodation, financial services, and civil services. 

The DRA Workforce Development Initiative has resulted in an increase in the number of 

community leaders that have been trained through the ACT Work Ready Communities Academy 

and the number of Delta workers and students that have achieved National Career Readiness 

Certification (NCRC), an industry-recognized skill credential used by employers during their 

hiring process. 

To date, the Authority has seen 27,125 post-secondary certificates earned. DRA, in partnership 

with ACT, divided NCRC credentialing into three major categories: Emerging, Current, and 

Transitioning workers. 

• The Emerging Workforce includes high school juniors, seniors, or recent graduates. The 

category also includes college students or recent graduates. The NCRC is a credential that 

the emerging workforce can use to go directly into employment or they can use it as a 
DRA Performance Report 2016

24 Delta Regional Authority

stepping-stone toward additional post-secondary training. Through DRA, 10,630 

individuals in the emerging workforce have been credentialed. 

•

Emerging NCRC Total

Alabama 922

Louisiana 8,201

Mississippi 411

Tennessee 73

Arkansas 1,023

Total: 10,630

• The Current Workforce includes the currently employed: private and nonprofit and may 

also include local, state, or federal government. The NCRC can be used to move up a 

traditional career ladder and improve/highlight skills. Through DRA, 5,091 incumbent 

workers were credentialed. 

•

Current NCRC Total

Alabama 156

Louisiana 1,678

Mississippi 1,121

Tennessee 53

Arkansas 2,083

Total 5,091

• The Transitioning Workforce is among the most vulnerable in the DRA footprint. 

These workers represent the currently unemployed members of the DRA region. They 

participated in adult basic education or currently serving as an active duty military 

member. Additional participants are those in reentry programs from veteran services or a 

returning citizen from incarceration. Through DRA, 11,404 individuals in the emerging 

workforce were credentialed. 

•

Transitioning NCRC Total

Alabama 176

Louisiana 3,596

Mississippi 1,805

Tennessee 95

Arkansas 5,732

Total 11,404

 
DRA Performance Report 2016

25 Delta Regional Authority

JOBS FOR AMERICA’S GRADUATES 

Jobs for America’s Graduates, Inc. (JAG) is the nation’s largest and, arguably, the most 

successful school-to-work system for at-risk and disadvantaged youth. JAG focuses on 

keeping students in school through graduation and equipping them with the academic and 

technical skills necessary to improve their employability, which parallels DRA’s commitment 

to invest in strategies that boost employment and educational success. 

DRA’s investments into JAG have been delivered in five phases over the past several years, 

expanding JAG into 38 additional schools and reaching more than 3,000 students. 

Phase V Partnership between DRA and JAG: 

Phase V of the partnership is focused on boosting both employment and educational outcomes 

for high-risk youth. The investment includes specifically: 

• A total of $250,000 to support the opening of 10 to 12 new JAG schools in five states 

in the Delta region. This investment will increase youth served by an additional 350-

450 students. 

• In addition to DRA funding, Entergy also announced a $250,000 commitment to 

support JAG programming in additional schools in Mississippi, Arkansas, and 

Louisiana.

SMALL BUSINESS AND ENTREPRENEURSHIP INITATIVE 

DRA’s Small Business and Entrepreneurship (SBE) Policy Framework focuses on program 

areas aimed at creating an entrepreneurial ecosystem in the Delta region. The core mission of 

economic development policy is to enhance economic well-being by creating jobs and 

personal income, which improve the quality of lives, businesses, and communities. The 

initiative addresses five key priority areas through DRA’s Delta Entrepreneurship Network 

and HBCU Initiative: 

• Developing a pipeline of educated and skilled entrepreneurs

By identifying 20 new rural entrepreneurs in the Delta region and connecting them 

with meaningful technical assistance training and support, DRA is helping create 

the pipeline of skilled entrepreneurs in the region. 

• Cultivating technology exchange and innovation
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26 Delta Regional Authority

As part of the expanded technical assistance Delta entrepreneurs are receiving in 

the 2016-2017 DEN Fellowship, entrepreneurs are utilizing an online portal that 

connects them to each other and mentors from around the region, allowing them to 

exchange ideas, provide feedback, and ask questions related to their business 

development. 

• Improving access to affordable capital

An important part of the 2016-2016 DEN Fellowship and HBCU Initiative is to 

help entrepreneurs prepare and connect with investors and sources of capital 

available to them by closely reviewing business plans, financial reports, and 

• Promoting awareness and advancing regional market opportunities

Participation in New Orleans Entrepreneur Week gives the DEN Fellows from the 

Delta region access to larger regional markets opportunities. 

• Optimizing the regulatory environment

One way for DRA to help small businesses and entrepreneurs understand the 

regulatory environment they face is to understand that environment itself. By 

creating the Director of Policy and Research position within the agency this year, 

DRA is better able to keep up with the changing regulatory environment 

entrepreneurs face. 

DELTA ENTREPRENEURSHIP NETWORK 

The Delta Entrepreneurship Network program identifies, connects, nurtures, and grows 

entrepreneurs and support organizations from across the Mississippi River Delta and the 

Alabama Black Belt regions by addressing regional deficiencies in capital, training, and best 

practices through a connected infrastructure of support organizations, investors, and educators. 

In partnership with Idea Village, this program annually identifies 20 entrepreneurs and up to 

16 entrepreneurship support organizations to receive a fellowship to represent the eight-state 

Delta region and participate in a special segment of New Orleans Entrepreneur Week 

(NOEW) with programmatic workshops and mentorship from panelists and industry experts. 

For Entrepreneurs: Applicants competed in a series of pitch competitions in the region, 

known as The Delta Challenge. These regional pitch competitions identified 20 entrepreneurs 

that have scalable, investable ventures throughout the region. The top three winners of the 

respective competitions received a fellowship to attend New Orleans Entrepreneur Week. 

While at NOEW, these entrepreneurs had the opportunity to showcase their ideas to a panel of 

investors and network with panelists, experts, mentors, and other entrepreneurs for investment. 
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27 Delta Regional Authority

For Entrepreneurship Support Organizations: Applicants are individuals or organizations 

that promote, nurture, and grow entrepreneurs and the entrepreneurship ecosystem in their 

communities. Those that provide direct entrepreneurship support or education services are 

encouraged to apply. 

Through a connected infrastructure of support organizations, investors, and educators, the 

DEN gave entrepreneurs and support organizations access to affordable capital, technical 

training, mentorship, experiential best practices, and programmatic events to encourage new 

entrepreneurial activity and strengthen the entrepreneurial ecosystem in the DRA region. Two 

DEN Fellows have signed contracts to sell their products in a number of Wal-Mart stores, one 

entrepreneur has received a book deal in order to highlight their business, and one biomedical 

team has received millions of dollars of investments in order to expand their current 

operations. 

Delta Entrepreneurship Network Fellowship 2017 applications opened in August 2016. 

Strategic partners have been brought on to serve as hosts for Delta Challenges in what is the 

most rural commitment of the three-year partnership. Delta Challenge dates have been set for 

the following: 

September 13 North Little Rock, AR Arkansas Regional Innovation 

Hub

September 28 Jackson, TN Lane College

September 29 Oxford, MS University of Mississippi

October 11 Livingston, AL University of West Alabama

November 1 Ruston, LA Louisiana Technical University 

November 18 Cape Girardeau, MO

 

Codefi

The DEN expanded in 2016, the third year of the program, by advancing an inclusive strategy 

with regional Historically Black Colleges and Universities (HBCUs). The Historically Black 

Colleges and Universities Entrepreneurial Ecosystem Initiative (EEI) will engage the HBCU 

student populations and help expand their local entrepreneurial ecosystem. This model engages 

HBCU leaders, community leaders, and student entrepreneurs in a series of activities that 

support the growth of minority-owned businesses on college campuses. Strategic partners 

include Mississippi Valley State University (MVSU) and Allen Entrepreneurial Institute (AEI). 
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28 Delta Regional Authority

Six HBCUs have been selected as the pilot schools for the HBCU EEI. The selected schools are: 

Mississippi Valley State University (Itta Bena, MS); Rust College (Holly Springs, MS); 

Grambling State University (Grambling, LA); Southern University (Baton Rouge, LA); Philander 

Smith College (Little Rock, AR); and University of Arkansas Pine Bluff (Pine Bluff, AR). These 

campuses will receive technical assistance and host their own Delta Pitch competitions. 

LEADING ECONOMICALLY COMPETITIVE AND RESILIENT COMMUNITIES 

In October 2015, DRA launched one of its newest and most ambitious initiatives to date: The 

Leading Economically Competitive and Resilient Communities (ECRC) program. ECRC was a 

series of 32 two-day intensive training workshops designed for mayors, county executives, other 

local elected officials, and economic development leadership. ECRC was developed in 

partnership with the International Economic Development Council (IEDC). 

In Fiscal Year 2016, ECRC reached 438 participants in eight months throughout the Delta 

region. The first round of training provided local officials with the necessary tools to take back to 

their communities and begin the implementation of economic development strategies in their 

communities. 

It is important that the participants of ECRC Round One are given a chance to put into practice 

everything gathered through these workshops. A second round of workshops, in a continuing 

partnership with IEDC and EDA, is planned for 2017. These ECRC Round Two workshops will 

ensure that the local community leaders who participated in ECRC Round One have a chance to 

put into practice everything gathered through the first set of workshops, by helping them to 

develop these skills and provide the local community leaders with the technical assistance they 

need in order to attract new growth. The technical assistance will come in the form of strategic 

plans, in-depth retail analysis, workforce development, and other key topics. 

CULTURAL TOURISM 

Cultural tourism is using creative and cultural economies, made up of local artisans, writers, 

filmmakers, musicians, business owners, entrepreneurs, and the organizations that support them, 

which are an integral part of the Delta states’ economies. DRA has a unique opportunity to 

showcase its culture and heritage while building local economies at the same time. In May 2015, 

international tourists spent more than $18 billion on travel to, and tourism-related activities 

within, the United States. Creative economies and tourism are some of the best opportunities for 

economic development for rural communities. States in the Delta region, like Tennessee, 
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29 Delta Regional Authority

Arkansas, and Louisiana, are seeing hundreds of millions of dollars in tax revenue at the state 

and local level and tens of thousands of jobs related to the tourism industry. 

In recognition of tourism as a major economic development opportunity for Delta communities 

big and small, DRA is investing resources into the infrastructure and small businesses that 

support visitors coming to the Delta region and is working with communities, businesses, and 

attractions to collectively promote the region as a great place to visit. DRA is also supporting the 

promotion of the Delta region as a prime destination for international and domestic travelers 

through numerous partnerships like the Mississippi River Geotourism initiative and the Delta Sky

publication. 

Mississippi River Geotourism 

The Mississippi River Geotourism Program seeks to capture and promote the culture, heritage 

and ecological diversity of the people and places that are connected to the Mississippi River, 

through the voices and stories of the people that live along its shores. 

The genesis of this program came from the establishment of a National Geographic Society cobranded website http://mississippiriver.natgeotourism.com. The content on this site was created 

and is curated in partnership with local organizations, businesses and residents to map the best 

travel experiences, stories and businesses along the Mississippi River. 

The Vision for the Mississippi River Geotourism Program is: 

Build on the Mississippi Rivers' global name recognition to increase awareness, 

appreciation and stewardship of the entire river; its history, cultures and natural 

wonders. To help connect people along the river and improve the capacity to offer 

high quality tourism experiences in the region. To develop and disseminate tools 

that make it easier for travelers to explore the region and in doing so, increase 

visitation and the economic impact of tourism along the Mississippi River. 

Delta Sky Magazine 

The June 2016 issue of Delta Sky Magazine featured a 36-page profile on the cultural and natural 

assets of the Delta region and highlighted some of the most unique attractions of each of the 

eight Delta states. Such as the Delta’s trails and waterways from the Shawnee National Forest, 

famous for the Little Grand Canyon to Emerald Mound, a 35-foot high plateau not far from the 

Natchez Trace Parkway. This profile was made possible by a partnership between the Delta 

Regional Authority, Delta Sky Magazine, and the governors of the eight states, in order to 
DRA Performance Report 2016

30 Delta Regional Authority

develop the potential of the Delta region to attract travelers throughout the United States and 

across the world. 

Per Delta Airlines, its Delta Sky Magazine’s June 2016 issue was seen by 5 million people in 61 

countries and six continents, giving readers the opportunity to learn about and fall in love with 

the Delta region. The magazine spread can be viewed online at 

http://msp.imirus.com/Mpowered/book/vds2016/i6/p82. 

DELTACORPS 

DeltaCorps, a new partnership between the Delta Regional Authority and the Corporation for 

National and Community Service, helps address economic and social needs of local communities 

in the eight states of the Mississippi River Delta region. A Memorandum of Understanding, 

signed on July 14, 2016, cemented this partnership, to deploy up to 100 AmeriCorps members to 

the Delta region over the next year. 

DeltaCorps provides much needed “boots on the ground” as a tangible resource that 

communities, nonprofit organizations, public agencies, schools and universities can access to 

help build economic opportunities, access to healthy futures, and disaster response services, 

among many other things. The application process allows these organizations to apply directly to 

DRA with a project proposal for how DeltaCorps members will be utilized. Members earn a 

$12,530 living allowance, receive health insurance, loan forbearance, and childcare assistance as 

well as a $5,775 education award. 

The first round in the application cycle launched in September, with six organizations submitting 

applications, for a total of 40 DeltaCorps members. Through an intense internal review process, 

DRA awarded five organizations located in Arkansas, Louisiana, and Tennessee with a total of 

40 DeltaCorps members. The remaining organization received one-on-one technical assistance in 

revising their application for a more successful future submission. As this initiative expands, 

DRA will do more outreach to be able to utilize all 100 available member positions. 

The awarded organizations and their member allotments are listed below: 

1. SBP (formerly known as St. Bernard Project): Twenty-five DeltaCorps members will 

provide disaster recovery services to flood-impacted residents throughout the Baton Rouge 

area and continue long-term recovery operations in New Orleans. Through their work with 

DeltaCorps, the DeltaCorps members will maximize the impact of their service by leveraging 

2,000 additional community volunteers. 

 
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31 Delta Regional Authority

2. Hispanic Community Services, Inc: Two DeltaCorps members will serve the Hispanic 

populations of Jonesboro and Pocahontas, Arkansas. In Pocahontas, the DeltaCorps member 

will provide translation and interpretation services to increase access to healthcare services as 

well as employment opportunities. In Jonesboro, the DeltaCorps member will provide youth 

leadership and education programs to high school students, playing an instrumental role in 

helping Hispanic students navigate the process of applying for scholarships, colleges, and the 

SAT/ACTs as they plan for college. 

 

3. Project Homecoming: Project Homecoming (PHC), a nonprofit community development 

organization that focuses on poverty-related and disaster-related housing and workforce 

development in Orleans Parish, will utilize five additional DeltaCorps members to support 

their affordable housing, workforce development, and disaster-relief efforts. Project 

Homecoming will train unemployed local residents in the low entry point but high demand 

field of residential construction and ensure that displaced homeowners are returned to safe 

homes. 

 

4. The College Initiative: Five DeltaCorps members will provide low-income high school 

students in the Delta Region with financial literacy services for future college success and 

financial independence. At the end of each year of this project, students will demonstrate 

increased financial literacy, knowledge of community and campus resources, and a thorough 

understanding of the college financial aid process as it pertains to the FAFSA, student loans, 

and scholarships in Crittenden, Cross, Lee, Mississippi, Poinsett, St. Francis, and Shelby 

County Schools in Arkansas and Tennessee. 

 

5. Pfeifer Kiwanis Camp: Through DeltaCorps resources, three DeltaCorps members will 

enhance the Alternative Classroom Experience with environmental and conservation 

activities for economically disadvantaged, at-risk students in Pulaski County, Arkansas, who 

participate in Pfeifer Camp programs. 

INNOVATIVE READINESS TRAINING 

Through a partnership with the U.S. Department of Defense and the U.S. Military’s reserve 

forces, the Delta Regional Authority’s Innovative Readiness Training (IRT) program provides 

military medical personnel with in-field emergency response preparation while simultaneously 

providing quality healthcare services to communities throughout the Delta region. By utilizing 

their extensive resources, the military is able to meet some of the region’s most urgent health and 

wellness needs. 
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32 Delta Regional Authority

DRA helped communities initiate and navigate the application process for three IRT programs in 

summer of 2016, bringing medical, dental, and optical care to Delta residents that are uninsured 

or underinsured and in need of quality healthcare at no cost to the patient: 

• Greyhound Medical: June 6-25 in West Memphis, AR. The longest IRT mission to date, 

during 20 days of medical care, 400 servicemen and women from the U.S. Army, Army 

Reserve, Air Force Reserve, and Air National Guard served more than 6,500 patients 

from Arkansas, Mississippi, and Tennessee, performing over 15,500 procedures valued at 

more than $1.5 million. 

• Bluegrass Medical: July 18-27 in Bardwell, Mayfield, and Paducah, KY. During 10 days 

of medical care, over 200 servicemen and women from the U.S. Department of Defense 

served almost 4,500 patients from Kentucky, southern Illinois, and southeast Missouri, 

performing almost 13,000 procedures valued at more than $1.5 million. 

• Tricentennial Wellness: August 2-13 in Natchez, MS. During a 12-day period, 

servicemen and women from the U.S. Department of Defense served more than 3,000 

patients from Louisiana and Mississippi, performing over 8,500 procedures valued at 

nearly $1.4 million. 

LOCAL FOODS, LOCAL PLACES 

First announced in June 2014 during a White House Rural Council meeting in Washington, D.C., 

the Local Foods, Local Places (LFLP) program aims to boost economic opportunities for local 

farmers and businesses, to improve access to healthy foods, and to revitalize downtowns and 

traditional neighborhoods by supporting farmers markets, food hubs, community gardens, and 

community kitchens and improving accessibility of these amenities. The program assists the 

awarded communities to improve their livability by promoting economic development, 

preserving rural lands, and increasing access to locally grown food. 

Under the leadership and guidance of the White House Rural Council, the Delta Regional 

Authority, in conjunction with five federal partners – the U.S. Department of Agriculture, the 

U.S. Environmental Protection Agency, the U.S. Department of Transportation, the Centers for 

Disease Control and Prevention, and the Appalachian Regional Commission – continues to 

jointly fund and support the LFLP program. For FY 2016, DRA committed $100,000 to the 

LFLP program to supplement implementation funding for three Delta communities: MartinDresden, Tennessee, Gainesville, Missouri, and Lake Village, Arkansas. DRA also provided 

Clarksdale, Mississippi – a community designated in the previous round – with an additional 

$15,000 to supplement their implementation endeavors for FY 2016. 
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33 Delta Regional Authority

DRA will continue to provide technical assistance to the awarded LFLP communities until their 

strategic plans are fully developed and implemented. DRA recognizes the LFLP program to be 

an important rural model that breaks down barriers to entry for small, rural communities seeking 

to leverage federal resources. Looking forward, DRA will continue to prioritize and offer 

technical assistance through the LFLP initiative and other similar related efforts through FY 

2017. 

DELTA DOCTORS 

In an attempt to increase the number of doctors serving Delta residents, the Delta Regional 

Authority implemented the Delta Doctors program in 2003. The program allows foreign 

physicians who are trained in this country to work in medically underserved areas for three years. 

Most choose to stay far longer once they develop a patient base. Those in the Delta Doctors 

program do not take jobs away from U.S.-born physicians. Instead, they provide services in areas 

where otherwise there would be a shortage of physicians. 

2016 has been another extremely busy year for this program, with 78 Delta Doctor J-1 

applications submitted to date. In an effort to expand awareness of the DRA Delta Doctors 

program, in FY2015 staff has educated and informed groups in and around the region by 

attending conferences and participating on panels designed to promote this program and spoke at 

local and regional meetings about the Delta Doctors J-1 programs policy and procedures. 

DELTA LEADERSHIP INSTITUTE 

Founded in 2005, the Delta Leadership Institute (DLI) is a body of local community leaders who 

participate in a year-long Executive Academy program and continue to communicate and 

collaborate after the Academy’s completion through the DLI alumni group, the Delta Leadership 

Network (DLN), in order to foster and strengthen cross-cultural, inter-governmental bonds 

throughout the region. Over the course of the Executive Academy academic year, 50 participants 

attend seven sessions and engage in training, case study discussion, and on-the-ground field 

studies of priority issue areas including workforce training and education, entrepreneurship and 

disaster resilience for small businesses, transportation and basic public infrastructure, public 

health, culture and tourism, and policy and governance. With more than 450 alumni, the DLN 

commits time, talent, service, and often, financial resources to initiatives like Emergency 

Preparedness and Innovative Readiness Training missions and has become the voice for the 

region and DRA. 

The Executive Academy have held six sessions over the course of 2015-2016 that focused on 

transportation and infrastructure, public health and education, small business and 
DRA Performance Report 2016

34 Delta Regional Authority

entrepreneurship, culture and tourism, and public policy and governance. To support the twelfth 

year of the Delta Leadership Institute Executive Academy, a new Delta Leadership Institute case 

study model will improve the institute’s ability to track and measure the quantifiable impact of 

the program in the daily lives of those participating. 

Data collected following each meeting ensures that the training and experience are tailored to the 

needs of the cohort. The following table shows the overall mean for the 2015-2016 sessions. 

Mean Score of 2015‐2016 Executive Academies by Respondents, 1‐5 scale 

Executive Academy Overall 

Memphis 4.31 

Vicksburg 3.88 

New Orleans 3.98 

Alabama Blackbelt 4.07 

Washington, DC 4.09 

Delta Leadership Network 

In FY 15, the Delta Leadership Network Regional Advisory Council gathered in Memphis to 

define goals and discuss the long-time future of our alumni organization, now 450 strong. In 

partnership with DLI leadership and guided by the strategy set forth by the Regional Advisory 

Council, the State Advisory Council Co-Chair spent FY15 leading the planning and 

implementation of local alumni engagement initiatives and events to engage alumni as 

volunteers, donors and ambassadors. Over the past year, the level of communication and 

interaction has been exciting. 

 

One of the top priorities covered during their strategic planning meeting was increased 

communication and engagement of our alumni. From monthly newsletters, to special invitations 

to state meetings, regional trainings and local announcements, there have been nearly 150 emails 

sent to date, with sixty percent of these emails being opened (a relatively high open rate for mass 

emails). 

 

In February of 2016, the annual conference had an attendance of 175, including alumni, DRA 

staff and board; speakers and guests; an increase of approximately 75 percent over the 2014 and 

2015 conferences. There have also been seven state meetings since January 2016. 

 
DRA Performance Report 2016

35 Delta Regional Authority

In FY16, DLN will continue its commitment to sustain local and regional growth through 

leadership; it will place a strong emphasis on the vision, passion, and talents of its alumni 

community. 
SECTION 3 - FINANCIAL SECTION
Independent Auditor’s Report 

Federal and State Co-Chairs 

 and Members of the Board 

Delta Regional Authority 

Clarksdale, Mississippi 

Report on the Financial Statements 

We have audited the accompanying financial statements of Delta Regional Authority (the 

Authority) as of and for the years ended September 30, 2016 and 2015, and the related notes to 

the financial statements, which collectively comprise the Authority’s basic financial statements 

listed in the table of contents. 

Management’s Responsibility for the Financial Statements 

Management is responsible for the preparation and fair presentation of these financial statements 

in accordance with accounting principles generally accepted in the United States of America; this 

includes the design, implementation and maintenance of internal control relevant to the 

preparation and fair presentation of financial statements that are free from material misstatement, 

whether due to fraud or error. 

Auditor’s Responsibility 

Our responsibility is to express an opinion on these financial statements based on our audits. We 

conducted our audits in accordance with auditing standards generally accepted in the United 

States of America and the standards applicable to financial audits contained in Government 

Auditing Standards, issued by the Comptroller General of the United States; and Office of 

Management and Budget (OMB) Bulletin No. 15-02, Audit Requirements for Federal Financial 

Statements. Those standards require that we plan and perform the audits to obtain reasonable 

assurance about whether the financial statements are free from material misstatement. 

An audit involves performing procedures to obtain audit evidence about the amounts and 

disclosures in the financial statements. The procedures selected depend on the auditor’s 

judgment, including the assessment of the risks of material misstatement of the financial 

statements, whether due to fraud or error. In making those risk assessments, the auditor 

considers internal control relevant to the entity’s preparation and fair presentation of the financial 

statements in order to design audit procedures that are appropriate in the circumstances, but not 

for the purpose of expressing an opinion on the effectiveness of the entity’s internal control.
Federal and State Co-Chairs 

 and Members of the Board 

Delta Regional Authority 

Page 37 

 

Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness 

of accounting policies used and the reasonableness of significant accounting estimates made by 

management, as well as evaluating the overall presentation of the financial statements. 

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a 

basis for our audit opinion. 

Opinion 

In our opinion, the financial statements referred to above present fairly, in all material respects, 

the financial position of Delta Regional Authority as of September 30, 2016 and 2015, and its net 

cost and the changes in its financial position and its resources (budgetary and non-budgetary) for 

the years then ended in accordance with accounting principles generally accepted in the United 

States of America. 

Other Matters 

Required Supplementary Information 

Accounting principles generally accepted in the United States of America require that the 

management’s discussion and analysis listed in the table of contents be presented to supplement 

the basic financial statements. Such information, although not part of the basic financial 

statements, is required by the Governmental Accounting Standards Board, who considers it to be 

an essential part of financial reporting for placing the basic financial statements in an appropriate 

operational, economic or historical context. We have applied certain limited procedures to the 

required supplementary information in accordance with auditing standards generally accepted in 

the United States of America, which consisted of inquiries of management about the methods of 

preparing the information and comparing the information for consistency with management’s 

responses to our inquiries, the basic financial statements and other knowledge we obtained 

during our audits of the basic financial statements. We do not express an opinion or provide any 

assurance on the information because the limited procedures do not provide us with sufficient 

evidence to express an opinion or provide any assurance. 

Other Information 

Our audits were conducted for the purpose of forming an opinion on the basic financial 

statements as a whole. The information presented in Section 2 – Performance Section, the 

combining financial statements, schedule of expenditures and schedule of grants made, as listed 

in the table of contents, are presented for purposes of additional analysis and are not a required 
Federal and State Co-Chairs 

 and Members of the Board 

Delta Regional Authority 

Page 38 

 

part of the basic financial statements. Such information has not been subjected to the auditing 

procedures applied in the audits of the basic financial statements, and, accordingly, we do not 

express an opinion or provide any assurance on it. 

Other Reporting Required by Government Auditing Standards 

In accordance with Government Auditing Standards, we have also issued our report dated 

January 19, 2017, on our consideration of the Authority’s internal control over financial 

reporting and our tests of its compliance with certain provisions of laws, regulations, contracts 

and grant agreements and other matters. The purpose of that report is to describe the scope of 

our testing of internal control over financial reporting and compliance and the results of that 

testing, and not to provide an opinion on the internal control over financial reporting or on 

compliance. That report is an integral part of an audit performed in accordance with Government 

Auditing Standards in considering the Authority’s internal control over financial reporting and 

compliance. 

Jackson, Mississippi 

January 19, 2017 
BASIC FINANCIAL STATEMENTS
2016 2015

ASSETS

Intragovernmental

Fund balance with Treasury 38,119,613 $ 27,143,665 $ 

Cash 1,591,266 1,061,010

Receivables 342,458 1,009,248 

TOTAL ASSETS 40,053,337 $ 29,213,923 $ 

LIABILITIES

Intragovernmental payable 251,904 $ 251,904 $ 

Accounts payable 446,849 149,181 

Grants and other payables 1,824,134 2,085,460 

TOTAL LIABILITIES 2,522,887 2,486,545

NET POSITION

Unexpended appropriations/state funds 37,556,986 26,765,083 

Cumulative results of operations (26,536) (37,705) 

TOTAL NET POSITION 37,530,450 26,727,378 

TOTAL LIABILITIES AND NET POSITION 40,053,337 $ 29,213,923 $ 

See Notes to Financial Statements

DELTA REGIONAL AUTHORITY

BALANCE SHEETS

SEPTEMBER 30, 2016 AND 2015

39
2016 2015

PROGRAM COSTS

Economic Development

Intragovernmental gross costs 237,092 $ 259,420 $ 

Less intragovernmental earned revenue - - 

Intragovernmental net costs 237,092 259,420

Gross costs with the public 19,768,166 17,245,679

Less earned revenues from the public - - 

Net costs with the public 19,768,166 17,245,679

TOTAL NET PROGRAM COSTS 20,005,258 17,505,099 

NET COST OF OPERATIONS 20,005,258 $ 17,505,099 $ 

See Notes to Financial Statements

YEARS ENDED SEPTEMBER 30, 2016 AND 2015

STATEMENTS OF NET COST

DELTA REGIONAL AUTHORITY

40
2016

Cumulative Unexpended Cumulative Unexpended

Results Appropriations/ Results Appropriations/

of Operations Funds of Operations Funds

NET POSITION, BEGINNING BALANCE (37,705) $ 26,765,083 $ 38,936 $ 27,610,036 $ 

BUDGETARY FINANCING SOURCES (USES)

Appropriations received - 25,000,000 - 12,000,000

Appropriations used 14,443,527 (14,443,527) 13,095,424 (13,095,424) 

OTHER FINANCING SOURCES (USES)

Cost of operations absorbed by member states and others - 1,790,730 - 1,393,703 

Cost of operations absorbed by RCAP - 3,989,345 - 3,163,476 

Imputed financing from costs absorbed by others 28,255 - 26,326 - 

Disbursements of RCAP funds 3,983,269 (3,983,269) 3,135,451 (3,135,451) 

Disbursements of funds provided by member states and others 1,561,376 (1,561,376) 1,171,257 (1,171,257) 

TOTAL FINANCING SOURCES (USES) 20,016,427 10,791,903 17,428,458 (844,953) 

NET COST OF OPERATIONS 20,005,258 - 17,505,099 - 

NET CHANGE 11,169 10,791,903 (76,641) (844,953) 

NET POSITION, ENDING BALANCE (26,536) $ 37,556,986 $ (37,705) $ 26,765,083 $ 

See Notes to Financial Statements

2015

DELTA REGIONAL AUTHORITY

STATEMENTS OF CHANGES IN NET POSITION

YEARS ENDED SEPTEMBER 30, 2016 AND 2015

41
2016

Federal State and Other

 Rural Community 

Assistance Program Eliminations Combined

Budgetary and

Budgetary Non-Budgetary Non-Budgetary Non-Budgetary Non-Budgetary

BUDGETARY RESOURCES

Unobligated balance, beginning of year 523,988 $ 872,382 $ (25,670) $ - $ 1,370,700 $ 

Recoveries of prior year obligations 1,050,638 - - - 1,050,638 

Budget authority

Appropriations received 25,000,000 - - - 25,000,000 

Spending authority from offsetting collections

Collected - 1,790,730 3,989,345 - 5,780,075 

TOTAL RESOURCES (BUDGETARY AND NON-BUDGETARY) 26,574,626 $ 2,663,112 $ 3,963,675 $ - $ 33,201,413 $ 

STATUS OF BUDGETARY RESOURCES

Obligations incurred

Direct 24,635,247 $ - $ - $ - $ 24,635,247 $ 

Unobligated balances/unexpended funds

Apportioned 888,742 - - - 888,742 

Unapportioned - - - - - 

Unexpended funds - 1,101,736 (19,594) - 1,082,142 

Unobligated balance not available 1,050,638 - - - 1,050,638 

TOTAL STATUS OF BUDGETARY RESOURCES 26,574,627 $ 1,101,736 $ (19,594) $ - $ 27,656,769 $ 

CHANGE IN OBLIGATED BALANCES

Obligated balance, net, beginning of year 26,619,675 $ 35,414 $ 1,162,757 $ - $ 27,817,846 $ 

Obligations incurred 24,635,247 1,561,376 3,983,269 - 30,179,892 

Gross outlays (14,024,053) (1,495,089) (4,332,323) - (19,851,465) 

Recoveries of prior year unpaid obligations, actual (1,050,638) - - - (1,050,638) 

Obligated balance, net, end of year

Undelivered orders 34,767,530 - - - 34,767,530 

Accounts payable 1,412,701 101,701 813,703 - 2,328,105 

TOTAL UNPAID OBLIGATED BALANCE, NET,

END OF YEAR 36,180,231 $ 101,701 $ 813,703 $ - $ 37,095,635 $ 

NET OUTLAYS

Gross outlays 14,024,053 $ 1,495,089 $ 4,332,323 $ - $ 19,851,465 $ 

Offsetting collections - (1,790,730) (3,989,345) (5,780,075) - 

TOTAL NET OUTLAYS 14,024,053 $ (295,641) $ 342,978 $ - $ 14,071,390 $ 

See Notes to Financial Statements

DELTA REGIONAL AUTHORITY

STATEMENTS OF RESOURCES (BUDGETARY AND NON-BUDGETARY)

YEARS ENDED SEPTEMBER 30, 2016 AND 2015

42
2015

 Federal State and Other

 Rural Community 

Assistance Program Eliminations Combined 

Budgetary and

Budgetary Non-Budgetary Non-Budgetary Non-Budgetary Non-Budgetary

$ 649,936 207,573 $ (53,695) $ - $ 803,814 $ 

 - 307,264 - - 307,264 

 - 12,000,000 - - 12,000,000 

 1,393,703 31,958 3,163,476 - 4,589,137 

$ 2,043,639 12,546,795 $ 3,109,781 $ - $ 17,700,215 $ 

$ - 12,022,805 $ - $ - $ 12,022,805 $ 

 - 415,488 - - 415,488 

 - 108,500 - - 108,500 

 872,382 - (25,670) - 846,712 

 - - - - - 

$ 872,382 12,546,793 $ (25,670) $ - $ 13,393,505 $ 

$ 23,198 28,256,485 $ 800,093 $ - $ 29,079,776 $ 

 1,171,257 12,022,805 3,135,451 - 16,329,513 

 (1,159,041) (13,352,351) (2,772,787) - (17,284,179) 

 - (307,264) - - (307,264) 

 - 25,629,832 - - 25,629,832 

 35,414 989,843 1,162,757 2,188,014 - 

$ 35,414 26,619,675 $ 1,162,757 $ - $ 27,817,846 $ 

$ 1,159,041 13,352,351 $ 2,772,787 $ - $ 17,284,179 $ 

 (1,393,703) (31,958) (3,163,476) (4,589,137) - 

$ (234,662) 13,320,393 $ (390,689) $ - $ 12,695,042 $ 

43
DELTA REGIONAL AUTHORITY 

NOTES TO FINANCIAL STATEMENTS 

SEPTEMBER 30, 2016 AND 2015 

44

NOTE 1 – NATURE OF OPERATIONS AND SUMMARY OF SIGNIFICANT 

ACCOUNTING POLICIES 

Reporting Entity 

The Delta Regional Authority (DRA or the Authority) is a federal-state partnership serving a 252 

county/parish area in an eight-state region. Led by a federal co-chairman and the governors of 

each participating state, DRA is designed to remedy severe and chronic economic distress by 

stimulating economic development and fostering partnerships that will have a positive impact on 

the region’s economy. DRA helps economically distressed communities take advantage of other 

federal and state programs focused on basic infrastructure development and transportation 

improvements, business development and job training services. 

The Authority is a party to allocation transfers with other federal agencies as a transferring 

(parent) entity. Allocation transfers are legal delegations by one department of its authority to 

obligate budget authority and outlay funds to another department. A separate fund account 

(allocation account) is created in the U.S. Department of Treasury (Treasury) as a subset of the 

parent fund account for tracking and reporting purposes. All allocation transfers of balances are 

credited to this account, and subsequent obligations and outlays incurred by the child entity are 

charged to this allocation account as they execute the delegated activity on behalf of the parent 

entity. Generally, all financial activity related to these allocation transfers (e.g., budget 

authority, obligations, outlays) is reported in the financial statements of the parent entity from 

which the underlying legislative authority, appropriations and budget apportionments are 

derived. The Authority allocates funds, as the parent, to the United States Department of 

Agriculture (USDA) and the U.S. Economic Development Administration (EDA). 

Basis of Presentation 

These basic statements have been prepared from the accounting records of DRA in accordance 

with accounting principles generally accepted in the United States of America (GAAP) and the 

form and content for entity financial statements specified by the President’s Office of 

Management and Budget (OMB) in OMB Circular No. A-136, Financial Reporting 

Requirements, as amended. Accounting principles generally accepted in the United States of 

America (GAAP), for federal entities, are standards prescribed by the Federal Accounting 

Standards Advisory Board (FASAB), which has been designated as the official accounting 

standards setting body for the federal government by the American Institute of Certified Public 

Accountants (AICPA). 

OMB Circular No. A-136 requires agencies to prepare basic statements, which include a balance 

sheet, statement of net cost, statement of changes in net position and statement of resources 
45

(budgetary and non-budgetary). The balance sheets present, as of September 30, 2016 and 2015, 

amounts of future economic benefits owned or managed by DRA (assets), amounts owed by 

DRA (liabilities), and amounts which comprise the difference (net position). The statements of 

net cost report the full cost of the program, both direct and indirect costs of the output, and the 

costs of identifiable supporting services provided by other segments within DRA and other 

reporting entities. The statements of changes in net position reflect financing sources available 

to DRA, the cost of its operations and the net change in its financial position. The statements of 

resources (budgetary and non-budgetary) report an agency’s budgetary activity. 

 

Management of Financial Records 

Federal appropriations are managed for DRA by the General Services Administration (GSA). 

Using the government-wide standard general ledger system (SGL), accounting transactions are 

initiated at DRA and ultimately entered into the accounting records by GSA. These transactions 

are designated in the financial statements as “federal.” 

As described in Note 3, DRA invoices and receives funds from the various member states to be 

used to pay administrative costs. This process meets the requirement of originating legislation 

which stipulates that “IN GENERAL.- Administrative expenses of the Authority (except for the 

expenses of the federal co-chairperson, including expenses of the alternate and staff of the 

federal co-chairperson, which shall be paid solely by the federal government) shall be paid 

(A) by the federal government, in an amount equal to 50% of the administrative expenses; and 

(B) by the states in the region participating in the Authority, in an amount equal to 50% of the 

administrative expenses.” The funds received from the states are maintained in a local bank 

account, and transactions are initiated and managed by the DRA staff. These transactions are 

designated in the financial statements as “State.” 

Basis of Accounting 

Transactions are recorded on both the accrual and budgetary basis. Under the accrual basis of 

accounting, revenues are recognized when earned, and expenses are recognized when a liability 

is incurred, without regard to receipt or payment of cash. Budgetary accounting facilitates 

compliance with legal constraints on, and control of, the use of federal funds. 

The accompanying balance sheets, statements of net cost and statements of changes in net 

position have been prepared on an accrual basis. The statements of resources (budgetary and 

non-budgetary) have been prepared in accordance with budgetary accounting rules. 

Use of Estimates 

The preparation of financial statements in conformity with GAAP requires management to make 

estimates and assumptions that affect the reported amount of assets and liabilities and disclosure 

of contingent assets and liabilities at the date of the financial statements and the reported 

amounts of revenues, expenses and other changes in net position during the reporting period. 

Actual results could differ from those estimates. 
46

Revenues and Other Financing Sources 

DRA is a federal agency and receives appropriations. Other financing sources for DRA consist 

of imputed financing sources which are costs financed by other federal entities on behalf of 

DRA, as required by Statement of Federal Financial Accounting Standard (SFFAS) No. 5, 

Accounting for Liabilities of the Federal Government. DRA also had a reimbursable agreement 

with the United States Department of Transportation (DOT) during fiscal years 2016 and 2015. 

Cash 

At September 30, 2016 and 2015, cash consisted of deposit accounts with various financial 

institutions. At September 30, 2016, the Authority’s cash accounts were fully insured or 

otherwise collateralized. 

General Property and Equipment 

Substantially all of the facilities and equipment used by DRA are under an operating lease. Any 

potentially capitalizable equipment purchased by DRA has been immaterial and has been 

expensed as incurred. 

Compensated Absences 

The Authority’s policies permit employees to accumulate annual and sick leave benefits that may 

be realized as paid time off. Expense and the related liability are recognized as annual leave 

benefits are earned. Sick leave benefits expected to be realized as paid time off are recognized as 

expense when the time off occurs, and no liability is accrued for such benefits employees have 

earned but not yet realized. The maximum accrual of annual leave is 240 hours, and there is no 

maximum accumulation of sick leave. Compensated absence liabilities for annual leave are 

computed using the regular pay and termination pay rates in effect at the balance sheet date, plus 

an additional amount for compensation-related payments such as Social Security, Medicare taxes 

and retirement computed using rates in effect at that date. 
47

NOTE 2 – FUND BALANCE WITH TREASURY 

DRA’s fund balance with Treasury comes from appropriations and the reimbursable agreement 

with DOT. A summary of DRA’s fund balance with Treasury follows. 

 

2016 2015

Fund balance with Treasury

Appropriated fund $ 38,119,613 $ 27,143,665

Status of fund balance with Treasury

Unobligated balance

Available 888,742 $ 415,488 $ 

Unavailable 1,050,638 108,500

Obligated balance not yet disbursed 36,180,233 26,619,677

$ 38,119,613 $ 27,143,665

NOTE 3 – FUNDS RECEIVED AS ASSESSMENTS FROM MEMBER STATES 

Funds received as assessments from the various member states are maintained in a bank account 

separate from all other cash. These assessments are included with cash in the accompanying 

balance sheets. The states are required, by originating legislation, to pay 50% of the 

administrative costs of DRA. Amounts billed to the states are calculated at the beginning of each 

fiscal year and are based on the states’ 50% assessment of DRA administrative costs. The 

following table indicates funds on hand received from member states. 

2016 2015

Balance of state funds on hand, 

beginning of year $ 258,643 198,739 $ 

Current year billed to and received from states 1,245,335 885,789 

Total available from states 1,444,074 $ 1,144,432 $ 

Balance of state funds on hand, 

end of year $ 342,023 $ 198,739

Included in accounts receivable at September 30, 2016 was $61,764 due from one state for a 

portion of its 2016 share of SEDAP funding assessment. 
48

NOTE 4 – LIABILITIES COVERED AND NOT COVERED BY BUDGETARY RESOURCES 

Liabilities not covered by budgetary resources are liabilities for which congressional action 

(DRA appropriation bill) is needed before budgetary resources can be provided. Liabilities of 

DRA are classified as liabilities covered or not covered by budgetary resources (DRA state 

assessments, transfers/grants from other agencies) and are as follows: 

2016 2015

Liabilities not covered by budgetary resources

Leave liability (federal) 27,727 $ 37,706 $ 

Leave liability (state) 47,339 31,004

Other payables (state and other) 118,214 44,662

Deferred inflows from grants (RCAP and other) 408,596 265,937

Grants payable (RCAP) 410,071 1,002,393 

Total liabilities not covered by budgetary resources 1,011,947 1,381,702

Liabilities covered by budgetary resources

Accounts payable 53,598 129,179

Grants payable 1,176,525 721,880

Payroll and leave liability 48,752 21,719

Intragovernmental payable 232,065 232,065

Total liabilities covered by budgetary resources 1,510,940 1,104,843

Total liabilities $ 2,522,887 $ 2,486,545
49

NOTE 5 – GRANTS AND OTHER PAYABLES 

A summary of grants and other payables at September 30 follows. 

2016 2015

Federal

Accrued funded payroll and leave - current 24,424 $ 21,719 $ 

Accrued unfunded leave - noncurrent 27,727 37,706

Grants payable 879,879 721,880 

Total federal 932,030 781,305 

State and Other

Accrued leave 47,339 31,004

Deferred inflows of grant funds 21,477 110,000

 Other payables 24,328 4,821 

Total state and other 93,144 145,825 

Rural Community Assistance Program (RCAP)

Deferred inflows of grant funds 387,119 155,937

Grants payable 410,071 1,002,393 

Other payables 1,770 - 

Total RCAP 798,960 1,158,330 

$ 2,085,460 1,824,134 $ 

NOTE 6 – APPORTIONMENT CATEGORIES OF OBLIGATIONS INCURRED 

The direct obligations are obligations incurred against amounts apportioned under category A 

and category B on the latest Standard Form (SF) 132. The reimbursable obligations are those 

incurred against the reimbursable agreements with Treasury. A summary of these obligations at 

September 30 follows. 

2016 2015

Direct - category B Grants 22,370,126 $ 10,322,189 $ 

Direct - category B Administration 2,265,121 1,700,616

Total obligations $ 24,635,247 $ 12,022,805
50

NOTE 7 – EXPLANATION OF THE RELATIONSHIP BETWEEN LIABILITIES NOT 

COVERED BY BUDGETARY RESOURCES ON THE BALANCE SHEETS AND THE 

CHANGE IN COMPONENTS REQUIRING OR GENERATING RESOURCES IN THE 

FUTURE PERIODS 

Liabilities not covered by budgetary resources totaled $1,011,947, and the decrease in 

components requiring resources in future periods totaled $9,979 at September 30, 2016. 

Liabilities not covered by budgetary resources totaled $1,381,702, and the increase in 

components requiring resources in future periods totaled $4,164 at September 30, 2015. The 

changes are the net increase/decrease of future funded expenses for annual leave and represent 

the difference between appropriations of annual funds for the prior and current annual funds. 

Accrued funded payroll liability is covered by budgetary resources and is included in the net cost 

of operations. Whereas, the unfunded leave liability includes the expense related to the increase 

in annual leave liability for which the budgetary resources will be provided in a subsequent 

period. 

NOTE 8 – OPERATING LEASES 

DRA leases its primary operating facilities, including substantially all furniture and fixtures used, 

under a 15-year operating lease arrangement with Coahoma County, Mississippi. DRA also 

leases space for the Washington D.C. office from State Services Organization, Inc. under a 6- 

year operating lease arrangement. 

Future minimum lease payments at September 30, 2016, were: 

 

 

2017 84,175 $ 

2018 56,494 

2019 57,765 

2020 19,470 

$ 217,904

The lease with Coahoma County may be terminated by DRA should DRA fail to receive funding 

from the United States, the existence of DRA be terminated, or should the governing body of 

DRA choose to move DRA’s office outside Coahoma County, Mississippi. However, the lease 

with State Services Organization, Inc. may also be terminated for the above reasons, and DRA 

will be liable for four months of base rent upon early termination of the lease agreement. Rental 

expense was $106,200 and $115,555 for the years ended September 30, 2016 and 2015, 

respectively. 
51

NOTE 9 – PENSION PLANS 

Plan Description 

The Authority contributes to a defined contribution 401(k) plan covering all non-federal 

employees. Retirement expense is recorded for the amount of the Authority’s required 

contributions, determined in accordance with the terms of the plan. The plan is administered by 

Advanced Data Processing, Inc. The plan provides retirement and death benefits to plan 

members and their beneficiaries. Benefit provisions are contained in the Plan Document and 

were established and can be amended by action of the Authority’s governing body. 

Additionally, the Authority’s federal employees participate in the Federal Employees’ 

Retirement System (FERS), a cost-sharing, multiple-employer defined benefit pension plan. 

FERS provides retirement and disability benefits, annual cost-of-living adjustments and death 

benefits to the plan members and beneficiaries. 

Funding Policy 

Contribution rates for the Authority for the defined contribution 401(k) plan expressed as a 

percentage of covered payroll were 10.3% and 13.2% for the years ended September 30, 2016 

and 2015, respectively. Contributions made by the Authority amounted to approximately 

$97,000 and $69,000 for the years ended September 30, 2016 and 2015, respectively. 

FERS covered employees are required to contribute 0.8% of their annual covered salary, and the 

Authority was required to contribute 11.2% of annual covered payroll. For the year ended 

September 30, 2014 and following, FERS covered employees make contributions based on their 

year of hire ranging from 0.8% to 4.4%, and the employer contribution ranges from 11.9% to 

20.8%. Contribution rates for employees participating in the FERS plan expressed as a 

percentage of covered payroll were 14.2% and 14.1% for the years ended September 30, 2016 

and 2015, respectively. The Authority’s contributions to FERS for the years ended 

September 30, 2016 and 2015 were approximately $75,000 and $80,000, respectively, which 

equaled the required contributions for each year. 

NOTE 10 – RISK MANAGEMENT 

The Authority is exposed to various risks of loss related to torts; theft of, damage to and 

destruction of assets; business interruption; errors and omissions; employee injuries and 

illnesses; natural disasters and employee health and accident benefits. Commercial insurance 

coverage is purchased for claims arising from such matters other than those related to errors and 

omissions and natural disasters. Settled claims have not exceeded this commercial coverage in 

any of the three preceding years. 
52

NOTE 11 – RECONCILIATION OF NET COST OF OPERATIONS (PROPRIETARY) TO 

BUDGET 

Budgetary resources obligated are obligations for personnel, goods, services, benefits, etc., made 

by the Authority in order to conduct operations or acquire assets. Other (i.e., non-budgetary) 

financing resources are also utilized by the Authority in its program (proprietary) operations. 

For example, spending authority from offsetting collections and recoveries are financial 

resources from the recoveries of prior year obligations (e.g., the completion of a contract where 

not all the funds were used) and refunds or other collections (i.e., funds used to conduct 

operations that were previously budgeted). An imputed financing source is recognized for future 

federal employee benefits costs incurred for the Authority employees that will be funded by 

Office of Personnel Management (OPM). Changes in budgetary resources obligated for goods, 

services and benefits ordered but not yet provided represent the difference between the beginning 

and ending balances of undelivered orders (i.e., goods and services received during the year 

based on obligations incurred the prior year represent a cost of operations not funded from 

budgetary resources). Resources that finance the acquisition of assets are budgetary resources 

used to finance assets and net cost of operations (e.g., increases in accounts receivables or 

capitalized assets). Financing sources yet to be provided represent financing that will be 

provided in future periods for future costs that are recognized in determining the net cost of 

operations for the present period. Finally, components not requiring or generating resources are 

costs included in the net cost of operations that do not require resources (e.g., depreciation and 

amortized expenses of assets previously capitalized).

 

A reconciliation between budgetary resources obligated and net cost of operations (i.e., 

providing an explanation between budgetary and financial [proprietary] accounting) is as follows 

(note: in prior years, this information was presented as a separate financial statement [the 

statement of financing]). 
53

2016 2015

RESOURCES USED TO FINANCE ACTIVITIES

BUDGETARY RESOURCES OBLIGATED

Obligations incurred 24,635,247 $ 12,022,805 $ 

Less spending authority from offsetting collections and recoveries (1,050,638) (339,222) 

Net obligations 23,584,609 11,683,583 

OTHER RESOURCES

Imputed financing from costs absorbed by others 28,255 26,326 

Cost of operations absorbed by member states and others 1,561,376 1,171,257

Cost of operations absorbed by RCAP 3,983,269 3,135,451 

Other - 72,478 

TOTAL RESOURCES USED TO FINANCE ACTIVITIES 29,157,509 16,089,095 

RESOURCES USED TO FINANCE ITEMS NOT PART

OF THE NET COST OF OPERATIONS

Change in budgetary resources obligated for goods,

services and benefits ordered but not yet provided (9,141,082) 1,411,840 

TOTAL RESOURCES USED TO FINANCE THE NET

COST OF OPERATIONS 20,016,427 17,500,935 

TOTAL RESOURCES USED TO FINANCE THE 

ACQUISITION OF ASSETS (1,190) - 

COMPONENTS REQUIRING OR GENERATING

RESOURCES IN FUTURE PERIODS

Increase (decrease) in annual leave liability (9,979) 4,164 

TOTAL RESOURCES USED TO FINANCE THE NET

COST OF OPERATIONS 20,005,258 $ 17,505,099 $ 
54

NOTE 12 – EXPLANATION OF DIFFERENCES BETWEEN THE STATEMENT OF 

BUDGETARY RESOURCES AND THE BUDGET OF THE UNITED STATES 

GOVERNMENT 

Budgetary resources made available to DRA include current appropriations, unobligated 

appropriations and recoveries of prior year obligations. For FY 2015, no material differences 

exist between the amounts on the statement of budgetary resources and the amounts in the FY 

2017 President’s budget, which are rounded to the nearest million. As the FY 2018 President’s 

budget is not yet available, comparison between the statement of budgetary resources and the 

actual FY 2016 data in the FY 2018 budget cannot be performed. 

 
OTHER INFORMATION
 State Rural Community 

Federal and Other Assistance Program Elimina

ASSETS

Intragovernmental

Fund balance with Treasury 38,119,613 $ - $ - $ 

$ 

Cash - 1,217,620 373,646 

 

Receivables 1,190 91,092 250,176 

TOTAL ASSETS 38,120,803 $ 1,308,712 $ 623,822 $ 

$ 

LIABILITIES

Intragovernmental payable 251,904 $ - $ - $ 

$ 

Interfund transfers 158,156 12,131 (170,287) 

 

Accounts payable 330,405 101,701 14,743 

 

Grants and other payables 932,030 93,144 798,960 

TOTAL LIABILITIES 1,672,495 206,976 643,416 

 

NET POSITION

Unexpended appropriations/state funds 36,474,844 1,101,736 (19,594) 

 

Cumulative results of operations (26,536) - - 

TOTAL NET POSITION 36,448,308 1,101,736 (19,594) 

TOTAL LIABILITIES AND NET POSITION 38,120,803 $ 1,308,712 $ 623,822 $ 

$ 

DELTA REGIONAL AUTHORITY

COMBINING BALANCE SHEET

SEPTEMBER 30, 2016 

55
 State Rural Community 

Federal and Other Assistance Program Eliminations 

ASSETS

Intragovernmental

Fund balance with Treasury 27,143,665 $ - $ - $ - $ 

Cash - 748,455 312,555 - 

Receivables - 62,400 946,848 - 

TOTAL ASSETS 27,143,665 $ 810,855 $ 1,259,403 $ - $ 

LIABILITIES

Intragovernmental payable 251,904 $ - $ - $ - $ 

Interfund payable 120,450 (242,766) 122,316 - 

Accounts payable 109,340 35,414 4,427 - Grants and other payables 781,305 145,825 1,158,330 - 

TOTAL LIABILITIES 1,262,999 (61,527) 1,285,073 - 

NET POSITION

Unexpended appropriations/state funds 25,918,371 872,382 (25,670) - Cumulative results of operations (37,705) - - - 

TOTAL NET POSITION 25,880,666 872,382 (25,670) - 

TOTAL LIABILITIES AND NET POSITION 27,143,665 $ 810,855 $ 1,259,403 $ - $ 

DELTA REGIONAL AUTHORITY

COMBINING BALANCE SHEET

SEPTEMBER 30, 2015 

56
State Rural Community 

Federal and Other Assistance Program Eliminatio

PROGRAM COSTS

Economic Development

Intragovernmental gross costs 237,092 $ - $ - $ - $ 

Less intragovernmental earned revenue - - - - 

Intragovernmental net costs 237,092 - - - 

Gross costs with the public 14,223,521 1,561,376 3,983,269 - Less earned revenues from the public - - - - 

Net costs with the public 14,223,521 1,561,376 3,983,269 - TOTAL NET PROGRAM COSTS 14,460,613 1,561,376 3,983,269 - 

NET COST OF OPERATIONS 14,460,613 $ 1,561,376 $ 3,983,269 $ - $ 

DELTA REGIONAL AUTHORITY

COMBINING STATEMENT OF NET COST

YEAR ENDED SEPTEMBER 30, 2016

57
 State Rural Community 

Federal and Other Assistance Program Elimination

PROGRAM COSTS

Economic Development

Intragovernmental gross costs 259,420 $ - $ - $ 

$ 

Less intragovernmental earned revenue - - - 

 

Intragovernmental net costs 259,420 - - 

 

Gross costs with the public 12,938,971 1,171,257 3,135,451 

 

Less earned revenues from the public - - - 

Net costs with the public 12,938,971 1,171,257 3,135,451 

 

TOTAL NET PROGRAM COSTS 13,198,391 1,171,257 3,135,451 

 

NET COST OF OPERATIONS 13,198,391 $ 1,171,257 $ 3,135,451 $ 

$ 

DELTA REGIONAL AUTHORITY

COMBINING STATEMENT OF NET COST

YEAR ENDED SEPTEMBER 30, 2015

58
Federal 

Cumulative Cumulative Cumulative Cumulative 

Results Unexpended Results Unexpended Results Unexpended Results Unexp

of Operations Appropriations of Operations State Funds of Operations RCAP Funds of Operations Fu

NET POSITION, BEGINNING BALANCE (37,705) $ 25,918,371 $ - $ 872,382 $ - $ (25,670) $ - $ 

$ 

BUDGETARY FINANCING SOURCES (USES)

Appropriations received - 25,000,000 - - - - - 

 

Appropriations used 14,443,527 (14,443,527) - - - - - 

 

OTHER FINANCING SOURCES (USES)

Cost of operations absorbed by member states

and others - - - 1,790,730 - - - 

 

Cost of operations absorbed by RCAP - - - - - 3,989,345 - 

 

Imputed financing from costs absorbed by others 28,255 - - - - - - 

 

Disbursements of RCAP funds - - - - 3,983,269 (3,983,269) - 

 

Disbursements of funds provided by member states

and others - - 1,561,376 (1,561,376) - - - 

TOTAL FINANCING SOURCES (USES) 14,471,782 10,556,473 1,561,376 229,354 3,983,269 6,076 - 

 

NET COST OF OPERATIONS 14,460,613 - 1,561,376 - 3,983,269 - - 

NET CHANGE 11,169 10,556,473 - 229,354 - 6,076 - 

NET POSITION, ENDING BALANCE (26,536) $ 36,474,844 $ - $ 1,101,736 $ - $ (19,594) $ - $ 

$ 

DELTA REGIONAL AUTHORITY

COMBINING STATEMENT OF CHANGES IN NET POSITION

YEAR ENDED SEPTEMBER 30, 2016

State and Other

 Rural Community Assistance 

Program Eliminations

59
Cumulative Cumulative Cumulative Cumulative 

Results Unexpended Results Unexpended Results Unexpended Results Unexp

of Operations Appropriations of Operations State Funds of Operations RCAP Funds of Operations Fun

NET POSITION, BEGINNING BALANCE 38,936 $ 27,013,795 $ - $ 649,936 $ - $ (53,695) $ - $ 

$ 

BUDGETARY FINANCING SOURCES (USES)

Appropriations received - 12,000,000 - - - - - 

 

Appropriations used 13,095,424 (13,095,424) - - - - - 

 

OTHER FINANCING SOURCES (USES)

Cost of operations absorbed by member states

and others - - - 1,393,703 - - - 

 

Cost of operations absorbed by RCAP - - - - - 3,163,476 - 

 

Imputed financing from costs absorbed by others 26,326 - - - - - - 

 

Disbursements of RCAP funds - - - - 3,135,451 (3,135,451) - 

 

Disbursements of funds provided by member states

and others - - 1,171,257 (1,171,257) - - - 

TOTAL FINANCING SOURCES (USES) 13,121,750 (1,095,424) 1,171,257 222,446 3,135,451 28,025 - 

 

NET COST OF OPERATIONS 13,198,391 - 1,171,257 - 3,135,451 - - 

NET CHANGE (76,641) (1,095,424) - 222,446 - 28,025 - NET POSITION, ENDING BALANCE (37,705) $ 25,918,371 $ - $ 872,382 $ - $ (25,670) $ - $ 

$ 

DELTA REGIONAL AUTHORITY

COMBINING STATEMENT OF CHANGES IN NET POSITION

YEAR ENDED SEPTEMBER 30, 2015

State and Other

 Rural Community Assistance 

Federal Program Eliminations

60
DELTA REGIONAL AUTHORITY

 State Rural Community 

Federal and Other Assistance Program E

RESOURCES USED TO FINANCE ACTIVITIESBUDGETARY RESOURCES OBLIGATED

Obligations incurred 24,635,247 $ - $ - $ 

$ 

Less spending authority from offsetting collections and recoveries 1,050,638 - - 

Net obligations 23,584,609 - - 

OTHER RESOURCES

Imputed financing from costs absorbed by others 28,255 - - 

 

Cost of operations absorbed by member states and others - 1,561,376 - 

 

Cost of operations absorbed by RCAP - - 3,983,269 

TOTAL RESOURCES USED TO FINANCE ACTIVITIES 23,612,864 1,561,376 3,983,269 

 

RESOURCES USED TO FINANCE ITEMS NOT PART OF THE

NET COST OF OPERATIONS

Change in budgetary resources obligated for goods,

services and benefits ordered but not yet provided (9,141,082) - - 

TOTAL RESOURCES USED TO FINANCE ITEMS NOT PART

OF THE NET COST OF OPERATIONS 14,471,782 1,561,376 3,983,269 

 

RESOURCES THAT FINANCE THE ACQUISITION OF ASSETS (1,190) - - 

 

COMPONENTS REQUIRING OR GENERATING RESOURCES IN 

FUTURE PERIODS

Decrease in annual leave liability (9,979) - - 

TOTAL RESOURCES USED TO FINANCE THE NET COST OF 

OPERATIONS 14,460,613 $ 1,561,376 $ 3,983,269 $ 

$ 

COMBINING RECONCILIATION OF NET COST OF OPERATIONS (PROPRIETARY) TO BUDG

YEAR ENDED SEPTEMBER 30, 2016

61
DELTA REGIONAL AUTHORITY

State Rural Community 

Federal and Other Assistance Program El

RESOURCES USED TO FINANCE ACTIVITIESBUDGETARY RESOURCES OBLIGATED

Obligations incurred 12,022,805 $ - $ - $ 

$ 

Less spending authority from offsetting collections and recoveries 339,222 - - 

Net obligations 11,683,583 - - 

 

OTHER RESOURCES

Imputed financing from costs absorbed by others 26,326 - - 

 

Cost of operations absorbed by member states - 1,171,257 - 

 

Cost of operations absorbed by others 72,478 

Cost of operations absorbed by RCAP - - 3,135,451 

TOTAL RESOURCES USED TO FINANCE ACTIVITIES 11,782,387 1,171,257 3,135,451 

 

RESOURCES USED TO FINANCE ITEMS NOT PART OF THE

NET COST OF OPERATIONS

Change in budgetary resources obligated for goods,

services and benefits ordered but not yet provided 1,411,840 - - 

TOTAL RESOURCES USED TO FINANCE ITEMS NOT PART OF

THE NET COST OF OPERATIONS 13,194,227 1,171,257 3,135,451 

 

COMPONENTS REQUIRING OR GENERATING RESOURCES IN 

FUTURE PERIODS

Increase in annual leave liability 4,164 - - 

TOTAL RESOURCES USED TO FINANCE THE NET COST OF 

OPERATIONS 13,198,391 $ 1,171,257 $ 3,135,451 $ 

$ 

COMBINING RECONCILIATION OF NET COST OF OPERATIONS (PROPRIETARY) TO BUDGE

YEAR ENDED SEPTEMBER 30, 2015

62
Description Federal Funds 

 State and Other 

Funds 

 Rural Community 

Assistance Program 

Grants, subsidies and contributions 12,265,405 $ - $ 3,983,269 $ 

Consulting and other services 364,551 266,476 - 

Employee benefits 338,904 107,427 - 

Personnel services 950,675 502,055 - 

Seminars and meetings - 101,117 - 

Travel and transportation of persons 324,922 213,377 - 

Rent, communications and utilities 91,340 212,543 - 

Supplies and materials 46,439 56,048 - 

Printing and reproduction 53,308 19,109 - 

Office expense 25,069 83,224 - 

$ 1,561,376 14,460,613 $ 3,983,269 $ 

YEAR ENDED SEPTEMBER 30, 2016

SCHEDULE OF EXPENDITURES

DELTA REGIONAL AUTHORITY

Paid From

63
DRA Total Funding DRA Total Funding DRA 

Obligated Project Funds Priority % Obligated Project Funds Priority % Obligated 

 A. Basic Public Infrastructure 4,375,155 $ 98,374,292 $ 42.4% 2,710,867 $ 13,629,503 $ 28.3% 3,646,73

$ 

 B. Transportation Infrastructure 1,658,999 44,428,541 16.1% 1,759,543 66,251,025 18.4% 1,935,45

 

 C. Business Development 1,639,757 46,595,849 15.9% 2,590,722 110,369,396 27.1% 3,161,20

 

 D. Work Development 1,275,062 4,650,168 12.4% 1,755,746 20,149,361 18.4% 788,02

 

 E. Other 1,361,512 13,138,568 13.2% 746,991 18,105,894 7.8% - 

$ 207,187,418 10,310,485 $ 100.0% $ 228,505,179 9,563,869 $ 100.0% $ 

9,531,41

DRA State State DRA State State DRA 

Obligated Allocation

% Obligated Allocation

% Obligated 

State Allocations

Alabama 1,085,395 $ 1,085,396 $ 10.5% 1,106,966 $ 1,006,718 $ 10.6% 963,32

$ 

Arkansas 1,522,320 1,522,320 14.7% 1,434,397 1,434,397 15.1% 1,436,24

 

Illinois 768,862 838,670 8.1% 773,722 773,722 8.1% 744,74

 

Kentucky 918,441 918,441 8.8% 874,446 874,466 9.2% 867,00

 

Louisiana 1,795,360 1,795,360 17.3% 1,557,975 1,594,207 16.8% 1,796,43

 

Mississippi 1,635,176 1,635,177 15.8% 1,383,363 1,087,955 11.5% 1,336,20

 

Missouri 1,147,049 1,147,050 11.1% 1,087,955 1,383,363 14.6% 1,088,95

 

Tennessee 1,437,882 1,437,882 13.9% 1,345,045 1,345,045 14.3% 1,298,50

 

$ 10,310,485 10,380,296 $ 100.0% $ 9,563,869 9,499,873 $ 100.0% $ 9,531,41

 

* Grant obligation process for 2016 not completed as of audit report date.Totals may not add due to rounding.

2016 2015 

DELTA REGIONAL AUTHORITY

SCHEDULES OF GRANTS MADE*

YEARS ENDED SEPTEMBER 30, 2016, 2015 AND 2014

2016 2015 

64
DRA Total Funding

Obligated Project Funds Priority %

 A. Basic Public Infrastructure 8,520,150 $ 86,404,125 $ 85.9%

 B. Transportation Infrastructure 1,400,000 3,480,500 14.1%

 C. Business Development - - 0.0%

 D. Work Development - - 0.0%

 E. Other - - 0.0%

$ 89,884,625 9,920,150 $ 100.0%

DRA State State

Obligated Allocation %

State Allocations

Alabama - $ - $ 0.0%

Arkansas 1,355,500 1,355,500 13.7%

Illinois 120,150 120,150 1.2%

Kentucky 800,000 800,000 8.1%

Louisiana 1,364,000 1,364,000 13.7%

Mississippi 5,030,500 5,030,500 50.7%

Missouri 1,250,000 1,250,000 12.6%

Tennessee - - 0.0%

$ 9,920,150 9,920,150 $ 100.0%

2016

* 2016 is the first year of the CIF grant program.

YEAR ENDED SEPTEMBER 30, 2016

DELTA REGIONAL AUTHORITY

SCHEDULES OF GRANTS MADE (CONTINUED)*

COMMUNITY INFRASTRUCTURE FUND (CIF)

2016

65
Independent Auditor’s Report on Internal Control 

Over Financial Reporting and on Compliance and 

Other Matters Based on an Audit of the Financial Statements 

Performed in Accordance with Government Auditing Standards 

Federal and State Co-Chairs 

 and Members of the Board 

Delta Regional Authority 

Clarksdale, Mississippi 

We have audited, in accordance with auditing standards generally accepted in the United States 

of America and the standards applicable to financial audits contained in Government Auditing 

Standards, issued by the Comptroller General of the United States, the basic financial statements 

of Delta Regional Authority (the Authority), which comprise the balance sheet as of 

September 30, 2016, and the related statements of net cost, changes in net position, and resources 

(budgetary and non-budgetary) for the year then ended, and the related notes to the financial 

statements, and have issued our report thereon dated January 19, 2017.

Internal Control Over Financial Reporting 

Management of the Authority is responsible for establishing and maintaining effective internal 

control over financial reporting (internal control). In planning and performing our audit, we 

considered the Authority’s internal control to determine the audit procedures that are appropriate 

in the circumstances for the purpose of expressing our opinion on the financial statements, but 

not for the purpose of expressing an opinion on the effectiveness of the Authority’s internal 

control. Accordingly, we do not express an opinion on the effectiveness of the Authority’s 

internal control. 

A deficiency in internal control exists when the design or operation of a control does not allow 

management or employees, in the normal course of performing their assigned functions, to 

prevent or detect and correct misstatements on a timely basis. A material weakness is a 

deficiency, or a combination of deficiencies, in internal control such that there is a reasonable 

possibility that a material misstatement of the Authority’s financial statements will not be 

prevented or detected and corrected on a timely basis. A significant deficiency is a deficiency, or 

a combination of deficiencies, in internal control that is less severe than a material weakness, yet 

important enough to merit attention by those charged with governance. 

Our consideration of internal control was for the limited purpose described in the first paragraph 

of this section and was not designed to identify all deficiencies in internal control that might be 

material weaknesses. Given these limitations, during our audit, we did not identify any
Federal and State Co-Chairs 

 and Members of the Board 

Delta Regional Authority 

Page 67 

67 

deficiencies in internal control that we consider to be material weaknesses. However, material 

weaknesses may exist that have not been identified. 

Compliance and Other Matters 

As part of obtaining reasonable assurance about whether the Authority’s financial statements are 

free of material misstatement, we performed tests of its compliance with certain provisions of 

laws, regulations, contracts and grant agreements, noncompliance with which could have a direct 

and material effect on the determination of financial statement amounts and certain other laws 

and regulations specified in OMB Bulletin No. 15-02. However, providing an opinion on 

compliance with those provisions was not an objective of our audit and, accordingly, we do not 

express such an opinion. The results of our tests disclosed no instances of noncompliance or 

other matters that are required to be reported under Government Auditing Standards or OMB 

Bulletin No. 15-02. 

We noted certain matters that we reported to the Authority’s management in a separate letter 

dated January 19, 2017. 

Purpose of this Report 

The purpose of this report is solely to describe the scope of our testing of internal control and 

compliance and the results of that testing, and not to provide an opinion on the effectiveness of 

the Authority’s internal control or on compliance. This report is an integral part of an audit 

performed in accordance with Government Auditing Standards in considering the Authority’s 

internal control and compliance. Accordingly, this communication is not suitable for any other 

purpose. 

Jackson, Mississippi 

January 19, 2017